If You Don't Get 'Maenggyeon Insurance,' a 3 Million Won Fine Applies... But Only 1,000 Cases Enrolled (Summary)

Mandatory Dangerous Dog Insurance from the 12th, Fines up to 3 Million Won for Violations
Industry Estimates Half of 2,000 Registered Dangerous Dogs Enrolled

[Asia Economy Reporter Ki Ha-young] Since June 12, it has become mandatory for owners of designated dangerous dogs to subscribe to dangerous dog liability insurance, but the number of subscriptions has been found to be only about half of the registered dangerous dogs.

According to the industry on the 16th, as of the 14th, the number of dangerous dog liability insurance subscriptions was estimated to be about 1,000. The insurance industry estimates that the number of registered dangerous dogs is around 2,000. This means that only about half of the registered dangerous dogs are insured. However, for insurance companies that only allow face-to-face subscriptions through agents, the data was counted up to the 10th, just before the Lunar New Year holiday.

Dangerous dog liability insurance is designed to compensate for damages to others' life, body, or property caused by dangerous dogs. With the enforcement of the revised Animal Protection Act Enforcement Decree and Enforcement Rules, from the 12th, owners of legally designated dangerous dogs who fail to subscribe to liability insurance face fines of up to 3 million KRW.

Existing pet insurance also includes coverage for cases where a pet dog injures another person. However, most coverage amounts are set around 5 million KRW, and it is sometimes difficult for large or dangerous dogs to get insured, raising concerns about the limitations in compensating damages caused by dangerous dogs.

Currently, four insurance companies offer dangerous dog liability insurance. Hana Insurance was the first to launch a product on the 25th of last month, followed by NH Nonghyup Insurance on the 1st of this month, Samsung Fire & Marine Insurance on the 3rd, and DB Insurance on the 10th, which added a special rider to existing pet insurance. Hyundai Marine & Fire Insurance, KB Insurance, and Lotte Insurance are also preparing to launch dangerous dog liability insurance.

Mandatory Insurance Subscription from the 12th... Dog Owners and Insurers Both Lukewarm

Although it became mandatory for owners of dangerous dogs to subscribe to liability insurance from the 12th, only about half of the registered dangerous dogs have been insured, which is interpreted as an expected outcome. Some dangerous dog owners have not registered their dogs, and insurance subscription is also avoided as long as they are not caught, thus avoiding fines.

Insurance companies also find dangerous dog liability insurance burdensome due to profitability concerns. The subscription fee is about 15,000 KRW per year, while the liability coverage is up to 80 million KRW per victim. The insurance is designed to compensate up to 80 million KRW per person for death or permanent disability, 15 million KRW per person for injury, and at least 2 million KRW per incident for injuries caused to other animals.

However, the market size for dangerous dog liability insurance is not large. Dangerous dogs are defined as dogs such as the Dosa dog, American Pit Bull Terrier, American Staffordshire Terrier, Staffordshire Bull Terrier, Rottweiler, and their mixed breeds. The insurance industry estimates about 2,000 registered dangerous dogs, and including unregistered ones, the total is estimated to be around 10,000. Considering about 2,000 dog bite incidents annually, this product is seen as one that results in losses the more it is sold.

Some argue that insurance subscription is a reactive measure, and to reduce dangerous dog incidents, registration, muzzle-wearing, and mandatory education should be prioritized. An industry official said, "Although dangerous dog liability insurance is mandatory, it is not easy to identify the insured dangerous dogs. Since insurance compensates for damages after accidents, fundamental measures are needed to reduce dangerous dog incidents."