General Insurance Association Teams Up with Korea Institute of Criminology and Justice to Combat Insurance Fraud

The General Insurance Association of Korea announced on January 8 that it has signed a memorandum of understanding (MOU) with the Korea Institute of Criminology and Justice to strengthen cooperation in research and eradicate insurance fraud that affects people's livelihoods.

Both organizations agreed on the need to establish an active and organic response system among relevant institutions through the analysis of insurance crime trends, in order to eradicate increasingly sophisticated insurance fraud crimes.

As of 2024, insurance fraud has emerged as a serious social problem that undermines the foundation of the insurance system, with the amount detected reaching 1.1502 trillion won and the number of individuals caught totaling 108,997. The detected amount has steadily increased, rising by 27.9% compared to 2020.

Recently, insurance fraud has evolved beyond simple individual misconduct, with hospitals, clinics, insurance planners, and brokers becoming involved, leading to increased specialization and larger-scale operations.

Through this agreement, the two organizations plan to conduct joint research to analyze the current state and causes of insurance crime, supplement shortcomings in the existing system, and establish new response frameworks.

To eradicate insurance fraud, they will: ▲ promote joint research projects and co-host academic events ▲ provide convenience and information for research-related investigations ▲ and strengthen mutual cooperation.

Lee Byungrae, Chairman of the General Insurance Association of Korea, stated, "To eradicate increasingly sophisticated insurance fraud, it is essential for relevant organizations to share information smoothly and to respond jointly by leveraging each other's expertise and infrastructure."

Jung Woongseok, President of the Korea Institute of Criminology and Justice, said, "We will continue to focus our research capabilities to ensure that the insurance system, a private social safety net, can operate stably by continuing research to eradicate insurance fraud."

Going forward, the General Insurance Association of Korea and the Korea Institute of Criminology and Justice plan to select detailed research topics and conduct joint studies. They will also co-host policy forums and public hearings, and will institutionalize a sustainable cooperation system to ensure that tangible research results and policy proposals are produced.