Mitsui Sumitomo, Aioi and Nissay start merger talks today
Mitsui Sumitomo Insurance Group, Aioi Insurance and Nissay Dowa General Insurance will announce plans to merge their operations by the spring of 2010, The Nikkei reported in its Friday morning edition.
The integration would create the nation's largest nonlife insurance group with combined premium income of roughly Y2.7 trillion (£22bn) a year, passing current leader Tokio Marine.
The three will sign a memorandum of understanding to start formal negotiations to flesh out details toward the unification.
The three firms intend to unify their divisions handling computer systems and damage assessment to reduce costs. They will seek to turn a profit even in the barely growing domestic market by improving efficiency and will explore overseas markets.
