Local Government PL Insurance Fee Support, 9 out of 10 Regional SMEs Say "It Helps"

Korea Federation of SMEs Announces Satisfaction and Challenges Survey Results on PL Group Insurance

Regarding local governments' support for PL group insurance (Product Liability), 9 out of 10 small and medium-sized enterprises (SMEs) responded that it is helpful. The Korea Federation of SMEs (Chairman Kim Ki-moon), which operates the PL group insurance, announced the results of the 'PL Group Insurance Satisfaction and Difficulties Survey' conducted on 191 subscribing companies on the 4th.

The Korea Federation of SMEs' PL group insurance is a product designed to compensate for bodily injury or property damage to third parties caused by defects in products manufactured, sold, or constructed by SMEs. It is operated in collaboration with six non-life insurance companies. Through a group subscription method in the form of joint purchasing, it offers the same coverage conditions at premiums up to 28% cheaper than general non-life insurance companies. Additionally, it collaborates with 15 local governments to refund 20-30% of the paid premiums.

The survey results showed that 83.7% of respondents are satisfied with the PL group insurance program. The reasons for satisfaction with the PL group insurance program were ranked as 'affordable premiums (50.0%)', 'local government premium support (46.3%)', and 'quick premium calculation (27.5%)'.

Regarding local government support, 87.3% said that the local government’s premium support is helpful. 57.1% responded that it is very helpful, and 30.2% said it is somewhat helpful. This indicates that local government support has a positive impact when SMEs subscribe to PL group insurance. Concerning local government PL premium support, it was found that guidance through promotion, new budget allocation, and increasing support amounts are necessary.