Japan Sales Halt Causes $3 Billion Loss in US Insurance Stocks

U.S. life insurer Prudential Financial Inc. (NYSE: PRU) plunged 5.99% on the New York Stock Exchange on the 21st, closing at $96.45. Trading volume reached about 2.67 million shares, valuing the company at roughly $33.5 billion (around ₩45 trillion), and erasing some $1.896 billion (about ₩2.6 trillion) in market value in a single day.

The drop is attributed to a sharp deterioration in investor sentiment after Prudential announced an extension of the suspension of new policy sales at its Japanese subsidiary, Prudential of Japan. In a Form 8-K filing released today, the company said it would extend the halt on new life insurance sales in Japan by an additional 180 days. Analysts note this news sent shares down another 4–5% intraday.

Headquartered in New Jersey, Prudential Financial is a global insurance and asset-management group operating across North America and Asia through its life insurance, annuities and investment-management businesses. For fiscal 2025, net income rose to about $3.576 billion. The company has increased its dividend for 18 consecutive years and reaffirmed its commitment to bolstering shareholder returns with a share-repurchase program of up to $1 billion in 2026.