Prudential Financial Inc. said it reimbursed 437 individuals about a total of 2.85 billion yen ($17.4 million) as part of remediation efforts following a regulatory probe into employee misconduct at its Japan business.
In addition to the 498 individuals who presented claims as announced on Jan. 16, an independent panel at the company has reviewed 365 subsequent individual inquiries, of which 125 representing claims of 792 million yen were eligible for reimbursement, according to a company filing on Friday.
The insurer has suspended new life insurance sales in Japan until Nov. 5 after an internal investigation earlier this year found that more than 100 former employees in Japan engaged in improper investment solicitation. That prompted a probe by Japan’s Financial Services Agency, which has ordered Prudential to undertake a fundamental review of its organizational structure during the period of business suspension.
The misconduct resulted in more than $20 million in damages to the insurer’s local clients.
The firm “is conducting customer awareness initiatives and investigations to prevent further harm, while also reforming its management structure to prevent recurrence,” the insurer said in the filing. The company plans to provide quarterly updates on the reimbursements.
In May, Prudential said its international businesses saw a 4% dip in adjusted operating income for the first quarter of 2026 from a year earlier, which it said primarily reflected higher expenses related to the suspension in Japan.
Shares of the company have rebounded since mid-March, recouping almost all of their losses sparked by the misconduct findings.
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