No Compensation for Damages Caused by Electric Motor Power Transmission Devices
Mr. A recently scratched Mr. B's parked car when he fell off his bicycle. Thanks to the Personal Liability Insurance for Daily Life (PLIDL) that Mr. A had previously subscribed to, the repair costs for Mr. B's car were covered by the insurance payout.
Mr. C recently collided with Mr. D, who was chasing a soccer ball, while riding an electric scooter. Mr. D sustained an injury to his leg. Although Mr. C, who had subscribed to PLIDL, tried to use the insurance payout to cover Mr. D's hospital bills, he was unable to do so. This is because the electric scooter is powered by a motor, not human effort, and thus falls outside the coverage scope of PLIDL.
Both Mr. A and Mr. C share the commonality of causing damage to others while using a mode of transportation, but one received insurance compensation while the other did not. This is because, in the case of PLIDL, which compensates for legal liability arising from everyday accidents, the liability coverage differs depending on whether the transportation device used by the insured is powered by human effort or by a motor.
According to the 'Financial Tips' released by the Financial Supervisory Service on the 29th, PLIDL is insurance that covers the insured's legal liability for accidental damages that may occur during daily life. Depending on the scope of the insured, there are ▲basic type ▲child type ▲family type, with the family type being the most commonly sold.
The coverage includes various liabilities that may arise in daily life, such as damages caused by water leakage in the home, or damages caused by family members or pets to others.
However, even if subscribed to more than one policy, compensation is proportionally paid within the coverage limit based on the actual amount of damages incurred. It is necessary to consider whether to purchase additional coverage, such as increasing the coverage limit.
Damages caused to others by the insured's own vehicle are not covered, nor is liability arising from ownership, use, or management of motor-powered transportation devices (such as electric scooters or electric bicycles). Damages caused by human-powered transportation devices like bicycles are covered.
Damages arising from work duties or damages suffered by the insured or their family members are also not covered. This is because accidents occurring during work duties carry different risks compared to everyday accidents, with significantly higher potential for occurrence and scale of liability.
Additionally, since the insurance covers liability arising from ownership, use, or management of the residence listed on the insurance policy, it is advisable to immediately notify the insurance company and receive a reissued policy certificate if you move or if ownership changes after subscribing, to prevent disputes.
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