The four companies are: Tokio Marine & Nichido Fire Insurance, Sompo Japan Nipponkoa Insurance, Mitsui Sumitomo Insurance, and Aioi Nissay Dowa Insurance.
The four companies are: Tokio Marine & Nichido Fire Insurance, Sompo Japan Nipponkoa Insurance, Mitsui Sumitomo Insurance, and Aioi Nissay Dowa Insurance.

The reasons for the price hikes include a consumption tax hike in October last year and the implementation of the revised Civil Code next April, which will increase the levels of compensation required for accidents resulting in injury or death.

In the revised Civil Code, the statutory interest rate will be lowered from the current 5% to 3% in April. Compensation for people injured or killed in traffic accidents is calculated by discounting the victims’ potential income by the statutory interest rate, meaning that the amount of compensation will increase when the rate is lowered, according to a report by JiJi Press. In addition, there is a subdivision of the rate classification system, and insurance premiums differ depending on the class.


 

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