Insurance Terms Made Easier... Visualization Guide Materials Must Be Provided Starting Next Month

Financial Services Commission Improves System for Providing Summary Guides of Insurance Policy Terms

On the 31st, the Financial Services Commission announced that it will improve the system to provide consumers with visualized summary guides of insurance policy terms, making it easier to understand important contents of insurance contracts.

[Asia Economy Reporter Oh Hyung-gil] From now on, when purchasing insurance, consumers will be able to receive summarized insurance policy guides created as infographics and videos. This will make it easier to understand insurance policies, which were previously difficult to comprehend due to complicated language and complex content.

On the 31st, the Financial Services Commission announced that it will improve the system to provide consumers with visualized summarized insurance policy guides so they can easily grasp the important contents of insurance policies.

The visualized guides will first be provided for new and revised products launched from the 1st of next month, and from January 1st next year, they will be expanded to all insurance products.

The guides will depict the characteristics of insurance products through illustrations, such as whether the product is protection-type or savings-type, renewable or non-renewable, the level of surrender value, and whether it is covered by depositor protection.

On the 31st, the Financial Services Commission announced that it will improve the system to provide consumers with visualized summary guides of insurance policy terms, making it easier to understand important contents of insurance contracts.

The guides will also include related cases to help consumers check important points before contracting, such as the duty to notify before contract, exemption and reduction periods, and the possibility of principal loss in variable insurance.

Additionally, contents that are difficult to understand in text, such as the level of surrender value or the calculation of dates for withdrawal of subscription, will be explained through tables and graphs.

By scanning a QR code with a smartphone, consumers can access explanatory videos of the policy, insurance claim procedures, and information on branches nationwide.

A Financial Services Commission official explained, "Consumers will be able to understand insurance policies more easily," adding, "Customized guides reflecting each insurer’s characters and product features will be produced, providing various user-friendly policy guidebooks and summarized policy documents tailored to consumers’ perspectives."

This content was produced with the assistance of AI translation services.