NH Nonghyup Property & Casualty Insurance Launches "Public Seasonal Worker Comprehensive Insurance" to Support Foreign Workers

Customized Insurance Product Launched to Address Rural Labor Supply Issues

NH Nonghyup Property & Casualty Insurance announced on July 2 that it has launched the "Public Seasonal Worker Comprehensive Insurance" to support the stable operation of the foreign seasonal worker system in rural areas.

From the right, Song Chunsu, CEO of NH Nonghyup Property & Casualty Insurance, Kwon Kichang, Mayor of Andong, and Shin Jeongsik, Chairman of Andong Waryong Nonghyup, are taking a commemorative photo after the first subscription event of the Public Seasonal Worker Comprehensive Insurance. NH Nonghyup Property & Casualty Insurance

The foreign seasonal worker system is a program in which local Nonghyup cooperatives hire foreign workers and dispatch them to farms that require intensive labor during the busy farming season, in order to address labor shortages.

All local Nonghyup cooperatives nationwide are eligible to enroll. The insurance covers liability during farm work, early repatriation costs due to accidents or illness, and business interruption losses caused by the declaration of a special disaster area, all of which may occur when employing foreign seasonal workers.

This year, the number of foreign seasonal workers employed is about 95,700, a 41% increase compared to last year's 67,778. The daily wage for workers is about 100,000 won, which is up to 100,000 won cheaper than private labor agencies, making the system popular among farmers. However, the absence of a dedicated insurance product had made it difficult to operate the program.

In particular, local Nonghyup cooperatives are required to guarantee at least the minimum wage by employing foreign seasonal workers on a monthly salary basis. However, if work is suspended due to the declaration of a special disaster area, they have been unable to recover labor costs from the farmers. With the launch of this new product, such cost burdens are expected to be alleviated, enabling smoother business operations.

Meanwhile, Song Chunsu, CEO of NH Nonghyup Property & Casualty Insurance, visited Andong Waryong Nonghyup in North Gyeongsang Province the previous day to hold the first subscription event for the new product. Kwon Kichang, Mayor of Andong, also attended.

Song stated, "NH Nonghyup Property & Casualty Insurance is developing various products to help solve rural labor supply issues," and added, "We hope that the launch of this product will further vitalize the foreign seasonal worker system."