Lotte Sonbo, Consumer Protection Strengthening Leads to Significant Reduction in Complaints

Number of Civil Complaints Received in Q1-Q3 This Year Drops Sharply by 23.6% Compared to Same Period Last Year

[Asia Economy Reporter Ki Ha-young] Lotte Insurance announced that the number of complaints received this year has significantly decreased compared to last year.

Lotte Insurance stated on the 17th that the number of complaints received in the first to third quarters of this year decreased by 23.6% compared to the same period last year, showing a significant improvement in the complaint status.

According to the "2020 Financial Complaint Trends for the First to Third Quarters" announced by the Financial Supervisory Service on the 10th, the total number of financial complaints received in the financial industry increased by 12.9% compared to the same period last year, and the non-life insurance industry also increased by 7.0%. In contrast, Lotte Insurance recorded a large decrease of 23.6%, with the number of complaints received dropping from 1,052 to 803, a decrease of 249 cases based on the same criteria.

Lotte Insurance explained that since the change of major shareholders, as part of the "Customer Experience Advancement" to provide differentiated customer experiences, it has achieved a reduction in complaints through strengthening consumer protection.

In particular, they stated that they improved and strengthened the entire process from the entry stage to the exit stage, including ▲ strengthening the operation of complete sales and QA monitoring ▲ strengthening the operation of mystery shopping ▲ enhancing agent training focused on complete sales, frequent disputes in policy amendments ▲ establishing a two-way PRM system with loss adjustment partner companies. They also emphasized that they made self-initiated efforts to strengthen consumer protection tasks, such as establishing complaint reduction measures through targeted complaint analysis and advancing complaint statistical analysis.

To strengthen the consumer protection system, they reorganized the process so that consumer protection opinions are reflected when developing products and establishing marketing policies, and ahead of the enforcement of the Financial Consumer Protection Act (March 2021), they plan to introduce an "Integrated Complaint Management System" to respond more quickly to changes in the consumer protection environment.

A Lotte Insurance official said, "Since the change of major shareholders last year, as a result of all organizations and employees embodying consumer protection as the top priority value to gain customers' choice and trust, we were able to achieve actual complaint reduction results."

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