①Notwithstanding Article 116 of the Insurance Business Act, an insurer is to set aside the full balance of income and expenditures and investment profits generated by the liability insurance business as the reserves provided for by Order of the competent ministry. In such a case, the reserves set aside must not be drawn upon other than to compensate for a shortage of income and expenditures from the liability insurance business and in other cases provided for by Order of the competent ministry.

②The preceding paragraph applies mutatis mutandis to agricultural cooperatives, etc.. In this case, the term "insurer" in the same paragraph is deemed to be replaced with "agricultural cooperative, etc."; the phrase "notwithstanding Article 116 of the Insurance Business Act" is deemed to be replaced with "notwithstanding Article 11-32 of the Agricultural Cooperatives Act"; and the phrase "the liability insurance business" is deemed to be replaced with "the mutual liability insurance business".

③Paragraph (1) applies mutatis mutandis to consumer cooperatives, etc. In such a case, the term "insurer" in that paragraph is deemed to be replaced with "consumer cooperative, etc."; the phrase "Notwithstanding Article 116 of the Insurance Business Act" is deemed to be replaced with "Notwithstanding Article 50-7 of the Consumers' Cooperatives Act"; and the phrase "the liability insurance business" is deemed to be replaced with "the mutual liability insurance business".

④Paragraph (1) applies mutatis mutandis to business cooperatives, etc. In such a case, the term "insurer" in that paragraph is deemed to be replaced with "business cooperative, etc."; the phrase "Notwithstanding Article 116 of the Insurance Business Act" is deemed to be deleted; and the phrase "the liability insurance business" is deemed to be replaced with "the mutual liability insurance business".

⑤, Order of the competent ministry as referred to in paragraph (1) ( including as applied mutatis mutandis pursuant to the preceding three paragraphs),is to means an order jointly issued by the Prime Minister; the Minister of Health, Labour and Welfare; the Minister of Agriculture, Forestry and Fisheries; the Minister of Land, Infrastructure, Transport and Tourism; and the competent Minister for the business.

①Insurers and cooperatives (other than any cooperative that has entered into a mutual reinsurance agreement pursuant to which another cooperative bears all of the mutual insurance liabilities it had assumed pursuant to contracts for mutual liability insurance; and other than any cooperative that has entered into a mutual retrocession agreement pursuant to which another cooperative bears all of the mutual reinsurance liabilities it had assumed pursuant to a mutual reinsurance agreement; hereinafter the same applies in this Article) are to jointly perform the work of calculating, distributing, and collecting insurance premiums and insurance proceeds and damages among themselves (hereinafter referred to as "jointly pooled administrative processes" in this Article) as follows:

②Insurers and cooperatives must formulate rules establishing allocation rates and other necessary particulars of the jointly pooled administrative processes; an insurer must report these rules to the Minister of Land, Infrastructure, Transport and Tourism and the Prime Minister; and a cooperative must report these rules to the Minister of Land, Infrastructure, Transport and Tourism and to whichever minister among the Minister of Health, Labour and Welfare; the Minister of Agriculture, Forestry and Fisheries; or the competent Minister for the business has jurisdiction over that cooperative. The same applies if they change those rules.

③The Minister of Land, Infrastructure, Transport and Tourism may ask an insurer or cooperative to submit the necessary reports or materials for assessing the operational status of jointly pooled administrative processes, to the extent that this is necessary. To do so, the Minister of Land, Infrastructure, Transport and Tourism is to first consult with whichever minister among the Prime Minister; the Minister of Health, Labour and Welfare; the Minister of Agriculture, Forestry and Fisheries; or the competent Minister for the business has jurisdiction over the insurer or the cooperative.

④On finding that the content of the rules reported pursuant to paragraph (2) violates a law or regulation or that it subjects a specific group of persons to unfairly differential treatment, or on finding that jointly pooled administrative processes are not being performed properly, the Minister of Land, Infrastructure, Transport and Tourism and the Prime Minister; the Minister of Health, Labour and Welfare; the Minister of Agriculture, Forestry and Fisheries; and the competent Minister for the business may jointly order an insurer or cooperative to amend those rules or to take other necessary measures.

Having given authorization under Article 102, paragraph (1) of the Insurance Business Act (including as applied mutatis mutandis pursuant to Article 199 of that Act) with regard to a concerted action involved in the liability insurance business as set forth in Article 101, paragraph (1), item (i) of that Act (including as applied mutatis mutandis pursuant to Article 199 of that Act), the Prime Minister must notify the Minister of Land, Infrastructure, Transport and Tourism of this.

①Insurers and cooperatives, pursuant to Cabinet Office Order, must report damage rates and other necessary information for calculating liability insurance premium rates and mutual liability insurance premium rates to the Non-Life Insurance Rating Organization that the Prime Minister designates from among those that calculate standard rates for liability insurance (in the following paragraph, referred to as the "rating organization") .

②A cooperative may request the rating organization to provide the materials based on which the standard rates for liability insurance were calculated.

③Before enacting or amending Cabinet Office Order as referred to in paragraph (1), the Prime Minister must first consult with the Minister of Land, Infrastructure, Transport and Tourism, as well as with the Minister of Health, Labour and Welfare; the Minister of Agriculture, Forestry and Fisheries; and the competent Minister for the business.

An insurer or cooperative is to enter into an agency agreement for liability insurance or mutual liability insurance with an organization or other person that has been established with the purpose of promoting automobile transportation and that is found to be appropriate in terms of the smooth implementation of the liability insurance or mutual liability insurance business.

The Council on Automobile Liability Insurance (hereinafter referred to as the "council") is established in the Financial Services Agency.

①Before reaching a disposition prescribed in Article 28, paragraph (1) in a case as prescribed in that paragraph, and before reaching a disposition prescribed in paragraph (2) or (4) of that Article, the Prime Minister must consult with the council. The same applies in a case as prescribed in paragraph (3) of that Article, before the Prime Minister shortens the period prescribed in the first sentence of that paragraph or decides not to issue the order prescribed in the second sentence of that paragraph.

②Before giving the consent under Article 28-2, paragraph (1), (3), or (5), the Prime Minister must consult with the council.

③The council accommodates consultations under the preceding paragraph by studying and deliberating on the consent of the Prime Minister under Article 28-2, paragraph (1), (3), or (5).

The members of the council are appointed by the Prime Minister with the consent of the Minister of Land, Infrastructure, Transport and Tourism, pursuant to Cabinet Order.

Beyond what is provided for in Articles 31, 33, and 35, Cabinet Order provides for the organization, members, and other personnel of the council, and for any other necessary particulars concerning the council.