Japanese and Korean Insurers Set to Accelerate US and Global Acquisitions, Fitch Says

A wave of outbound acquisitions by Japanese and Korean insurers is reshaping the competitive landscape of the global insurance industry, and Fitch Ratings expects the momentum to accelerate. Facing limited growth opportunities in mature, aging domestic markets, but armed with strong capital positions and a strategic imperative to diversify, insurers from these two Asian economies are increasingly looking to the United States and other global markets for expansion through M&A.

The structural drivers are compelling. Japan and Korea both face demographic headwinds — aging populations and low birth rates that constrain organic growth in domestic life and non-life insurance. At the same time, persistently low (though now rising) domestic interest rates and the maturity of home markets have pushed insurers to seek higher returns and growth abroad. Their generally strong capital positions and disciplined management provide the financial firepower to pursue significant cross-border transactions.

Recent deals illustrate the scale and pace of this trend. Sompo Japan Insurance completed its acquisition of Bermuda-based Aspen Insurance Holdings in 2025, expanding its specialty and reinsurance footprint. Nippon Life announced two acquisitions in 2024, including a landmark JPY 1.2 trillion (approximately $8.4 billion) deal to purchase US-based Resolution Life Group, a major life insurance consolidation platform. And Mitsui Sumitomo Insurance has agreed to acquire 15% of the outstanding common stock of W.R. Berkley, the prominent US commercial property/casualty insurer — a strategic minority stake that deepens its US exposure.

These moves build on a pattern pioneered decades ago. Tokio Marine Group and Dai-ichi Life were the two trailblazing Japanese insurers that entered the US market in the early 2000s. Tokio Marine, in particular, solidified its global insurer status by acquiring a series of US insurers — including Philadelphia Consolidated, Delphi Financial, and HCC Insurance Holdings — paving the way for other sector players to follow. The recently announced strategic partnership between Tokio Marine and Berkshire Hathaway, which included a $1.8 billion equity investment by Berkshire's National Indemnity Company, is expected to further raise the ceiling on Tokio Marine's international acquisition capacity.

Fitch notes that a key enabler of these deals is the credit-rating dynamic, which can create a 'win-win' for both the acquiring parent and its US subsidiaries. Not every transaction succeeds — Fitch cited Meiji Yasuda Life's unsuccessful 2023 attempt to sell its Indonesian stake and Dai-ichi Life's May 2025 decision to divest from Thailand's Ocean Life Insurance as examples of strategic repositioning. But the overall direction is clear: Japanese and Korean insurers are becoming increasingly important acquirers in global insurance M&A, with significant implications for competitive dynamics, valuations, and consolidation across the industry.