Politician-Turned-Training Institute Director's Invitation... Insurance Company CEOs All Gather

Expected Role as Communication Channel Between National Assembly and Ruling Party
Expansion of Specialized Insurance Training Institution Functions

[Image source=Yonhap News]

[Asia Economy Reporter Oh Hyung-gil] Insurance company CEOs are unusually attending in large numbers an event hosted by the Korea Insurance Institute, which is responsible for job and qualification training in the insurance sector.

Since it is the first official event held after the inauguration of Director Min Byung-doo, a three-term member of the National Assembly, a remarkable scene is expected with insurance company representatives gathering despite the COVID-19 situation.

According to the insurance industry on the 24th, about 20 CEOs from life and non-life insurance companies are expected to attend a breakfast forum hosted by the Korea Insurance Institute on the 25th at a hotel in downtown Seoul. The attendees will exchange broad opinions on major issues in the insurance industry without a predetermined topic.

Considering the insurance industry's culture of rarely attending external events, the large attendance of CEOs is regarded as a rare occurrence. This indicates that the status of the Korea Insurance Institute has changed compared to the past.

Insurance companies are hopeful that Director Min, a former chairman of the National Assembly's Political Affairs Committee, will serve as a communication channel between the industry and the ruling party to resolve industry issues. Currently, numerous bills are piled up in the National Assembly, including the computerization of claims for indemnity health insurance, which has been delayed for 12 years, and the default option for retirement pensions promoted by the ruling party.

It is a situation where a voice to convey the insurance industry's opinions to the National Assembly is desperately needed. Although both ruling and opposition parties are positive about the amendment to the Insurance Business Act for the computerization of indemnity insurance claims, they have not been able to persuade the medical community, which is desperately opposing it. At two previous public hearings, the medical community repeatedly insisted that discussions on the amendment should be immediately halted.

[Image source=Yonhap News]

Regarding the default option, which allows financial companies to manage retirement pension funds according to pre-set methods even if subscribers do not give operational instructions, the insurance industry insists on "stable principal and interest guarantees." They demand that products guaranteeing principal and interest should also be selectable due to concerns about principal loss, but the financial investment sector counters skeptically, saying that including principal-guaranteed products would not change the current system.

Director Min played a significant role in passing the Financial Innovation Support Special Act, the Special Act on Internet-only Banks, and the Financial Consumer Protection Act while serving as chairman of the Political Affairs Committee in the 20th National Assembly. Given his considerable contributions to the development of the financial industry, the insurance sector's expectations for him are high.

Director Min also emphasizes the Korea Insurance Institute's role in the development of the insurance industry and the restoration of consumer trust. On January 21, the day of his inauguration, he declared to the staff, "Focus on reflecting on the meaning of insurance and fostering a sense of mission, enhancing human capabilities for change and innovation in the insurance industry, and supporting the restoration of consumer trust in the insurance industry."

This year, the Korea Insurance Institute is expanding its role as a professional training institution by introducing new courses such as the Virtual Asset Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) practical course specialized in virtual asset transactions, and the ESG (Environmental, Social, and Governance) Finance Understanding course for sustainable management.

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