Article 12-(3). The provisions of the Law relating to Prohibition of Private Monopoly and Methods of Preserving Fair Trade, and the Trade Association Law shall not apply to any of the following acts;provided, however, that this shall not apply to cases where unfair method of competition is employed, where competition in a particular field of trade is substantially restrained by mutually employing undue restrictions on business activities, or where the interests of the person effecting insurance or the insured is unduly injured by substantially restraining competition in a particular field of trade: 1. Any agreements, contracts or any other concerted activities between a non-life insurance company or companies and another non-life insurance company or companies (including foreign non-life insurers as provided for in paragraph 1 of Article 2 of the Law concerning Foreign Insurers) in respect to transactions of marine insurance business (meaning non-life insurance business of which the subject matter of insurance is on hull, or cargo during marine transportation (including incidental transportation in transit on land before shipment or for a certain specified time after landing) but excluding non-life insurance business of which the subject matter of insurance is on cargo in transit on land only;hereinafter the same)(excluding matters on premium rates, as regards non-life insurance business of which the subject matter of insurance is on hull). 2. Any agreements, contracts or any other concerted activities between a non-life insurance company or companies and another non-life insurance company or companies (including foreign non-life insurers provided for in paragraph 1 of Article 2 of the Law concerning Foreign Insurers) in respect to the following acts in connection with joint underwritings of direct or reinsurance business of non-life insurance business other than marine insurance business by a non-life insurance company or companies with another insurance company or companies (including foreign non-life insurers provided for in paragraph 1 of Article 2 of the Law concerning Foreign Insurers): a. Fixing or limiting volume of transactions of direct writings or reinsurance business. b. Determination of insurance policy conditions (excluding matters on premium rates). c. Fixing or limiting parties or commissions in regard to reinsurance business.

Article 12-(4). In case a non-life insurance company, a person effecting insurance, an insured or any other interested person (hereinafter referred to as "interested person" ) deems that the concerted activities enumerated in any item of the preceding Article, coming under the provisions of the proviso to the preceding Article, unduly injure his interests, he may request the competent Minister to hold a public hearing with documents stating the reason therefor. To the documents under the preceding paragraph shall be attached materials for reference. The competent Minister shall, on receipt of the request under the preceding paragraph, hold a public hearing as requested, requesting the interested person and the non-life insurance companies concerned in the concerted activities in question or his or their attorneys to attend. In case the interested person, requested to attend the hearing under the preceding paragraph, does not appear on the day without proper reason, it shall be deemed that he has waived the request of the said hearing under the provisions of paragraph 1. In case the competent Minister, after holding the hearing under paragraph 3, deems the request for the hearing reasonable, he may order rescission or alteration of the whole or a part of the concerted activities for which the hearing was requested. The provisions of paragraphs 3 and 4 of Article 12 shall apply mutatis mutandis to the case of the hearing under paragraph 3;provided, however, that "disposal under paragraph 1" and "the insurance company concerned" as mentioned in paragraph 3 of Article 12 shall respectively read "a hearing under paragraph 3 of Article 12-(4)" and "the interested person or non-life insurance companies concerned in the concerted activities for which the hearing was requested" ;and "the insurance company concerned may present its representative or proxy," mentioned in paragraph 4 of Article 12 shall read "the interested person or the non-life insurance companies concerned in the concerted activities for which the hearing was requested, or his or their attorneys, may present and" .

Article 12-(5). When the competent Minister deems that the concerted activities under each item of Article 12-(3) fall under the provisions of the proviso to the same Article, or the said concerted activities are contrary to the public interests or interfere with the sound development of insurance enterprise, he may order the non-life insurance companies concerned in the concerted activities for which the hearing was held, to rescind or alter the whole or a part of the said concerted activities after holding hearing. The provisions of paragraphs 3 and 4 of Article 12 shall apply mutatis mutandis to the case of the hearing under the preceding paragraph.

Article 12-(6). Non-life insurance companies shall report to the competent Minister the concerted activities under each item of Article 12-(3) which are provided for by order;the same shall apply in the case of alteration of the concerted activities already reported. The competent Minister shall confer in advance with the Fair Trade Commission when he intends to establish the order under the preceding paragraph.

Article 12-(7). The disposition of the competent Minister based on the provisions of paragraph 5 of Article 12-(4) or paragraph 1 of Article 12-(5) shall not be construed as restricting the judgement of the Fair Trade Commission concerning whether or not the concerted activities enumerated in each item of Article 12-(3) fall under the provisions of the proviso to the same Article, or as interfering with the exercise of power of the Fair Trade Commission under the Law relating to Prohibition of Private Monopoly and Methods of Preserving Fair Trade.