The House of Councilors on Friday enacted an amendment to the insurance business law to allow the government to extend its 400 billion yen contribution to the Life Insurance Policyholders Protection Corp., a safety-net body for life insurers.
The government's contingency fund has now been extended for three years. The previous pledge expired March 31.
The amendment includes measures under which life insurers can be changed from mutual firms into stock companies. But it does not include a controversial proposal that would allow life insurers to cut yields guaranteed to policyholders.