Prudential Financial Inc. said it has provided compensation totaling about 2.85 billion yen ($17.4 million) to 437 individuals as part of its remediation following a regulatory investigation into misconduct by employees at its Japan operations.
In addition to the 498 individuals who filed claims announced on Jan. 16, an independent panel of the company reviewed 365 follow-up individual inquiries, including 125 claims worth ¥792 million that were eligible for reimbursement, according to a company filing on Friday.
The insurer has suspended new life insurance sales in Japan until November 5 after an internal investigation earlier this year found that more than 100 former Japanese employees engaged in improper investment solicitation activities. That triggered an investigation by Japan’s Financial Services Agency, which ordered Prudential to conduct a fundamental review of its organizational structure during the shutdown.
The misconduct resulted in losses of more than $20 million to the insurance company’s local customers.
The insurer said in the filing that it is “conducting customer awareness initiatives and investigations to prevent further harm, while also reforming its management structure to prevent a recurrence.” The company plans to provide reimbursement updates on a quarterly basis.
In May, Prudential said its international business’s adjusted operating income in the first quarter of 2026 fell 4% year-on-year, mainly reflecting increased expenses related to the suspension of its Japanese operations.
The company’s shares have rebounded since mid-March, recouping nearly all of the losses stemming from the misconduct findings.
Copyright 2026 Bloomberg.
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