Newsletter
UNIFORM PREMIUMS DO NOT BREACH FTL
The FTC recently examined whether insurance companies' practices in marketing property in-surance should be regarded as concerted action to monopolize the market, in violation of the Fair Trade Law. After all of the property insurers submitted information to the FTC, and explained that their marketing operations for insurance products follow rules for setting premiums ap-proved by the Ministry of Finance (MOF), the FTC finally confirmed that there are no grounds for suspecting illegality. However, it is under-stood that because of the risk that the uniform schedule of insurance premiums set out in the rules may create the impression of joint mo-nopolization of the market, the FTC has written to the MOF suggesting that the system of rules governing uniform premiums be abolished.