Korea Insurance Development Institute, System Development... To Be Applied Starting Next Month
Starting next month, customers involved in car-to-car accidents requiring fault negotiation will be able to receive the results of fault negotiations conducted between insurance companies via text message or KakaoTalk.
On the 26th, the Korea Insurance Development Institute announced that fault negotiation details, which were previously communicated to customers by insurance company claims staff via phone calls, will be available via text message, KakaoTalk, or email starting next month.
The transmitted negotiation details will be prepared in a report format. It will include detailed information such as fault ratios agreed upon between insurance companies, accident circumstances, and accident data.
Fault negotiations that were previously conducted through phone calls, emails, or messengers between insurance companies will now be handled using the fault negotiation system on the insurance companies and mutual aid associations’ business portal.
The Korea Insurance Development Institute plans to enhance consumer understanding by applying and presenting accident circumstances and weighting factors from the Automobile Accident Fault Ratio Dispute Deliberation Committee. Through this, it expects a reduction in unnecessary applications to the dispute deliberation committee caused by insufficient communication and explanation.
According to the Korea Insurance Development Institute and the General Insurance Association, there were 2,797,794 car-to-car accidents covered by automobile insurance last year. Among these, 511,470 cases (18.3%) involved mutual fault. The rate of dispute deliberation applications among mutual fault cases increased from 11.3% in 2018 to 23.7% last year, more than doubling over five years.
Huh Chang-eon, President of the Korea Insurance Development Institute, said, "With the development of this system, customers’ right to know and communication regarding fault negotiation results will improve, and the efficiency of fault negotiation work between insurance companies and mutual aid associations will greatly increase."
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