Legal basis:
– Insurance Business Act.
1. Definition of insurance products
The term “insurance product” means a contract stipulating the payment of money and other benefits to the insured for the occurrence of a contingency for the purpose of guaranteeing any risk, including three types of products: A life insurance product, a non-life insurance product and a Type 3 insurance product.
2. Can a foreign insurer do business insurance products in Korea?
The term “foreign insurer” means any person incorporated under statutes and regulations of any country other than Korea who runs the insurance business in a country other than Korea. A foreign insurer, a person engaged in the business of insurance agency business or insurance broker overseas engaged in an insurance-related business overseas may open its or his or her office in Korea in order to investigate the insurance market, to collect information thereon, or to perform any other work similar thereto.
A foreign insurer which intends to obtain a license for insurance business shall meet the following requirements:
– Holding the operating funds;
– Running the same insurance business as it intends to run in Korea;
– Its asset status, financial soundness and business soundness are to be sufficient to run the insurance business in Korea and internationally recognized;
– Being capable of protecting policyholders and being fully equipped with physical facilities;
– The business plan is to be feasible and sound.
It is also noticed that the foreign insurers do not concurrently run life insurance business and non-life insurance business, except reinsurance of life insurance business and reinsurance of Type 3 insurance business, types of insurance is permitted to be concurrently.
