No Paper Documents Needed for Claims on Actual Loss Insurance... Insurance Act Amendment Passed by the Political Affairs Committee

Implementation Imminent After 14 Years

The revised Insurance Business Act, which allows for the simple claim of indemnity medical insurance benefits without issuing various paper documents, has passed the National Assembly's Political Affairs Committee.

On the afternoon of the 15th, the Political Affairs Committee of the National Assembly held a plenary session and approved the partial amendment to the Insurance Business Act containing this provision. It passed the National Assembly threshold 14 years after being proposed following the recommendation of the Anti-Corruption and Civil Rights Commission in 2009. The remaining steps are the Legislation and Judiciary Committee and the plenary session of the National Assembly.

The amendment includes establishing a computerized system for indemnity insurance claims and electronically transmitting related documents to insurance companies upon the subscriber's request. Once finally passed and enacted, consumers will be able to automatically claim insurance benefits by simply requesting the hospital after treatment, without the need to obtain various paper documents.

However, Kang Sung-hee, a member of the Progressive Party, expressed opposition at the plenary session on the same day, stating, "There is concern that insurance companies may improperly use the information from documents submitted by subscribers for indemnity insurance claims."

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