Investing.com -- MS&AD Insurance Group Holdings (TYO: 8725 ) Inc., a leading Japanese insurer, is planning to invest approximately ¥700 billion ($5 billion) to expand its operations in the North American market. The Tokyo-based company is striving to meet its objective of doubling its operating profits in the region, according to Bloomberg, citing MS&AD CEO Shinichiro Funabiki.

Despite having the highest market share in Asia among global firms, MS&AD currently ranks third among Japanese peers in North America. Funabiki stated in an interview that the company’s challenge is to become the top player in the North American market.

Funabiki asserts that the company needs to enhance its organization to double its profits in the near future. The specific business areas and new investment targets are yet to be determined and will be decided in the future.

Japanese insurers have been broadening their presence overseas via acquisitions as they face rising challenges in their domestic market due to a declining population. In March, MS&AD announced that its subsidiary, Mitsui Sumitomo Insurance Co., will acquire a 15% stake in US insurer W.R. Berkley Corp. Funabiki confirmed that the company intends to persist with its aggressive investment strategy in the future.

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