South Korea: Insurance & Reinsurance

This country-specific Q&A provides an overview to Insurance & Reinsurance laws and regulations that may occur in South Korea.

  1. How is the writing of insurance contracts regulated in the jurisdiction?

  2. Are types of insurers regulated differently (i.e. life companies, reinsurers)?

  3. Are insurance brokers and other types of market intermediary subject to regulation?

  4. Is authorisation or a licence required and if so, how long does it take on average to obtain such permission?

  5. Are there restrictions over who owns or controls insurers (including restrictions on foreign ownership)?

  6. Is it possible to insure risks without a licence or authorisation? (i.e. on a non-admitted basis)?

  7. What penalty is available for those who operate without appropriate permission?

  8. How rigorous is the supervisory and enforcement environment?

  9. How is the solvency of insurers (and reinsurers where relevant) supervised?

  10. What are the minimum capital requirements?

  11. Is there a policyholder protection scheme?

  12. How are groups supervised, if at all?

  13. Do senior managers have to meet fit and proper requirements and/or be approved?

  14. Are there restrictions on outsourcing parts of the business?

  15. How are sales of insurance supervised or controlled?

  16. Are consumer policies subject to restrictions? If so, briefly describe the range of protections offered to consumer policyholders.

  17. Are the courts adept at handling complex commercial claims?

  18. Is alternative dispute resolution well established in the jurisdiction?

  19. What are the primary challenges to new market entrants?

  20. To what extent is the market being challenged by digital innovation?

  21. Over the next five years what type of business do you see taking a market lead?