The country's five major non-life insurers plan to launch a free indemnity and windstorm and flood insurance cover for small shop owners.
The insurers will initially launch the "win-win comprehensive (indemnity) insurance" and "win-win windstorm and flood insurance" for small business owners in North Jeolla province in April 2026, reported the Chosun Biz. The insurers are currently working on the details of the coverage and are awaiting review by the Financial Supervisory Service to ensure regulatory compliance.
Small business owners with annual sales of KRW300m ($208,000) or less will be eligible for the win-win insurance scheme in North Jeolla province and the selection process will be based on the list of small business owners provided by the local government authorities. Insurers are also considering paying a lump-sum consolation benefit upon receiving an injury diagnosis under the win-win comprehensive insurance plan.
In 2025, the Korean life and non-life insurance industries contributed KRW15bn each to create a fund pool totalling KRW30bn, which was to be used to help small business owners’ premium payments. Around 90% of the win-win insurance programme will be funded from this pool, with the remainder covered by local government budgets.