Insurance Access Expands: Life & Third-Party Policies Now Available Through Local Agencies
Seoul, September 23, 2025 – Consumers will soon have increased access to a wider range of insurance products, including disease and injury coverage, directly within everyday locations like hospitals and nursing facilities. Starting next month, South Korean financial authorities will permit simple insurance agencies – previously limited to non-life insurance sales – to offer life insurance and third-party insurance options.
This expansion, achieved through a revision of enforcement regulations, aims to make smaller, short-term insurance policies more readily available to the public. Currently, simple insurance agencies have been restricted to selling fire, guarantee, and animal insurance, primarily utilized by travel agencies and in relation to real estate fire coverage.
The change will allow consumers to conveniently select insurance products like injury insurance at nursing hospitals and disease insurance directly at healthcare facilities. Financial authorities initially decided to broaden the scope of saleable products at an insurance reform meeting last year, recognizing the potential for increased consumer access to essential coverage.
the Insurance Research Institute notes this development presents a potential prospect to “lead to the creation of potential insurance demand for consumers and to create new markets,” notably for small and medium-sized General Agencies (GAs) looking to target niche areas.
While the regulatory change takes effect next month, full-scale sales are anticipated to begin by the end of 2025 or early 2026, allowing time for necessary seller education and procedural adjustments.
Industry officials emphasize the importance of strengthening consumer protection measures alongside this expansion,particularly regarding payment processes and recruitment,to address potential disputes that may arise during claims and compensation. “It is indeed expected to be able to sell life insurance through simple insurance agents and increase consumer access,” stated one industry official.
