Bengo4.com, Inc. Makes Full-Scale Entry into the Legal Finance Business, Worth 9 Trillion Yen Worldwide

Bengo4.com, Inc. (Minato-ku, Tokyo; Taichiro Motoe, Representative Director, President and CEO, Lawyer; hereinafter, “the Company”) announces that it is making a full-scale entry into the legal finance business by adding to its group two companies: MIKATA Small Amount Short Term Insurance Co., Ltd that offers “legal expense insurance” and Japan Legal Network Co., Ltd. that offers “litigation financing,” both of which provide services that help eliminate concerns about costs in case of legal problems.

With the group being joined by two companies with knowledge of litigation financing, which represents a market worth more than 1 trillion yen in Europe, and legal expense insurance,*1 the growth of which is accelerating and which is expected to become a market worth 51 billion dollars (approximately 8 trillion yen)*2 by 2035, we will have the capacity to promote a Japanese version of the “legal finance business.” By combining the Company, which runs Bengo4.com that is one of the largest legal consultation platforms in Japan, with expert know-how in various fields, we aim to reduce mental and economic hurdles to accessing justice from multiple angles.

*1: German Insurance Association (GDV), “Statistical Yearbook of German Insurance 2024” (published November 2024). The German market alone, being the largest market in Europe, collects 5.3 billion euros (about 874.5 billion yen) in insurance premiums, while the European market as a whole (Germany, France, the Netherlands, etc.) is estimated to exceed 11 billion euros (about 1.8 trillion yen) annually. (1 EUR = 165 JPY conversion)

*2: Research Nester “Litigation Funding Investment Market Size, Share & Trends Analysis Report 2023-2035”(published January 2026). The same report predicts that the global litigation financing market will reach 51.09 billion US dollars (approximately 8 trillion yen) between 2035 and 2036. (1 USD = 156 JPY conversion)

■ Background: Eliminating “economic hurdles” to accessing justice through legal finance

Bengo4.com, one of Japan’s largest legal consultation portal sites, has worked to construct a legal support infrastructure that can make a reality of the slogan “making professionals more accessible.” However, Japan faces a structural social issue termed the “20% justice phenomenon,” which means that fewer than 20% of those who have legal problems actually consult a lawyer. The biggest reason for giving up on getting a consultation is “concerns about cost” (34.7%),*3 reflecting a neglected social injustice where people do not seek help due to economic reasons even when it is possible to exercise rights or find judicial remedies.

To solve this problem, the Company will launch a “legal finance business” to provide financial support for exercising and defending legal rights.

The global trend of “litigation financing” is enormous, its market size is predicted to reach 51 billion dollars (about 8 trillion yen) in 2036. In Europe, “legal expense insurance” that covers everyday legal risks has become a market worth 1 trillion yen, giving rise to a social infrastructure where exercising legal rights is not affected by the financial power of individuals.

To date, legal expense support services in Japan have been limited to public assistance for low-income earners and some non-life insurance riders, with many individuals having to give up on seeking judicial remedies due to the “risk of costs exceeding benefits.” The Company will establish a Japanese version of legal finance based on the two pillars of “legal expense insurance” to guard against problems before they arise and “litigation financing” as support after problems have arisen. This will create an environment where everyone has equal access to justice, regardless of financial power.

*3: January 2026 Macromill survey (participants: 10,000 male and female individuals aged 18-69)

◾️ A group that realizes a total support system: From “prevention” to “lawyer search” and “support for legal expenses”

With MIKATA Small Amount Short Term Insurance Co., Ltd., which has a legal expense insurance business, and Japan Legal Network Co., Ltd., which has a litigation financing business, joining the group, it becomes possible to create a total support system that comprehensively offers support through a flow from “prevention” of legal problems to “lawyer search” and “support for legal expenses.” In addition to its role as a platform for “finding and consulting with lawyers,” it will now be able to assist users in all processes related to legal problems by providing a financing function that helps cover legal expenses.

[Legal expense insurance] MIKATA Small Amount Short Term Insurance Co., Ltd.

Insurance premiums starting from a few thousand yen per month cover consultation fees and legal expenses in case of future problems. Through this arrangement, which constitutes a market of 1 trillion yen in Germany and the rest of Europe, they provide a safety net to prevent people from having to give up in frustration.

[Litigation financing] Japan Legal Network Co., Ltd.

They provide funds to cover things like retainer fees and other fees for lawyers related to problems that have already arisen. Through this arrangement that covers legal expenses and does not incur repayment obligations even if the lawsuit is lost or damages cannot be collected (even though the case is won), the risk of costs exceeding benefits is eliminated for individuals.

■ Future outlook: Toward realizing a society where “everyone has access to justice as a matter of course”

The creation of this group is meant to realize our mission of “Be the Professional-Tech Company” through this new approach called legal finance. We seek to transform the very way access to justice operates by building an “economic infrastructure” to make the most of expert know-how, rather than simply expanding our services.

Making this not only for individuals but also for small and medium-sized enterprises (SMEs), where the costs of legal disputes can pose a considerable management risk, we are also considering presenting new options such as “preparing” for litigation risks through insurance and “flexible exercise of rights” through financing. By popularizing this Japanese version of legal finance, we will overcome the existing challenge of people having to “give up on exercising legitimate rights for fear of costs and risks” and realize a society where everyone and all companies, regardless of size, can continue to take on challenges with the help of experts as a matter of course.

■ MIKATA Small Amount Short Term Insurance Co., Ltd.

Head office | Floor 6, Tomizawacho 111 Bldg., 11-1 Nihonbashi Tomizawacho, Chuo-ku, Tokyo

Date of establishment | April 1, 2011

Representative | Hiroyuki Hanaoka, President and Representative Director

Business description | Small amount short-term insurance business and services incidental thereto

URL | https://mikata-ins.co.jp/

■ Japan Legal Network Co., Ltd.

Head office | Room S415, Floor 4, Tensho Minami-Aoyama Bldg., 2-4-15 Minami-Aoyama, Minato-ku, Tokyo

Date of establishment | April 24, 2015

Representative | Yasufumi Minamitani, Representative Director, CEO, and COO

Business description | Operates Atela/ATE Compensation Service, Japan’s first service covering attorney fees, allowing signup even after a problem occurs

URL | https://legalnetwork.jp/