On October 29th, Lifenet Insurance Co. announced that same-sex couples will be allowed to designate their same-sex partners as their beneficiaries and receive proceeds after the death of their policy holders from November 4th.
With an interview, if needed, and the submission of documents confirming the two are in a relationship and lives together, same-sex couples can choose their partners as beneficiaries of life insurance. There are some requirements which have to be met such as the length of living together, however, Lifenet Insurance Co. acknowledges them as couples anywhere in Japan.(Certificates issued by Shibuya ward and Setagaya ward are not required.)
This decision is a big breakthrough for Japan, where beneficiaries of life insurance have been limited only to their family and relatives excluding same-sex partners(Life insurance companies have excluded same-sex partners in prevention of murder for insurance money).
However, there are some inequality left. That is proceeds of life insurance are subject to inheritance tax since the law does not acknowledge same- sex partners as legal heirs nor does tax reduction system apply to them. The following Lifenet Insurance Co.’s website explains this new decisions and answers questions.
In a press conference on that day, the president of Lifenet Insurance.Co, Daisuke Iwase told the reporters “This is a small step, but I hope it becomes a step that changes Japan.”
“This is a very normal decision and we should have done this earlier, if you ask me.” Mr.Iwase added, recounting his experience in Harvard University and the foreign firms he used to work for. “Same-sex partners are everywhere in western countries. It was more than 20 years ago that western insurance companies discussed plans for LGBT policy holders. It is a commonplace that same-sex partners are beneficiaries of life insurance.”
Mentioning that Shibuya ward and Setagaya ward are going to start issuing partnership certificates on November 5th, Mr. Iwase “announced this decision when the awareness of same-sex marriage is rising.” “It is a good thing that this movement is happening in Japan.”
Lifenet Insurance has already allowed policy holders to designate their common-law marriage partner as their beneficiaries. “The procedure is much the same as common-law marriage’s. We just expanded our insurance’s coverage to same-sex couples.” Mr, Iwase said.
For your information, Lifenet Insurance Co. has recruited their employees regardless of their sexual orientation and sexual identity since opening.
Many LGBT couples have long wished to leave insurance money for their partners, who are not allowed to be their legal heir.
It is not widely known in LGBT community,but Japan Post Insurance Co.,Ltd has allowed LGBT policy holders to designate their partner as their beneficiaries for years.
The first insurance company which acknowledged same-sex partners as beneficiaries in Japan is probably Prudential Life Insurance. By 2012, Prudential Life Insurance had introduced, as a trust agreement agency, “Safe Support Trust(Anshin support shintaku)” by Sumitomo Mitsui Trust Bank Limited. It flexibly allowed policy holders to designate their beneficiaries.
This year, Shibuya ward started issuing partnership certificates and finally domestic insurance companies made a move. On October 22nd, Asmo Small Amounts and Short Term Insurance changed its system and now acknowledges same-sex couples with certificates issued by Shibuya ward or Setagaya ward.
Following these movements, Nippon Life Insurance Co.and The Dai-ichi Life Insurance Co. announced that they are planning to allow same-sex couples to designate their partners as their beneficiaries after the submission of partnership certificates issued by Shibuya ward. Other domestic insurance companies such as Meiji Yasuda Life Insurance Co. and Sumitomo Life Insurance Co. are also planning to follow this new movement.
In addition, The Dai-ishi Life Insurance Co. is planning to launch a project, which is aimed at achieving a better understanding of LGBT people. They are also planning to offer consulting services and company housings to same-sex partners.
2015/11/07