The new chief of the General Insurance Association of Korea said he would make it his goal to improve the business environment for automobile insurance in the domestic insurance industry. “An accumulated deficit and an excessive loss ratio has put undue pressure on insurance companies since the early 2000s,” said Chang Nam-sik, the former CEO of LIG Insurance, who took office as the association chairman early this month.The new chief said it is necessary to readjust automobile insurance fees so

The vexing debt problem has come back to haunt the Korean economy. Back in the late 1990s, the economy suffered from humongous corporate debts, but this time, the mounting household debt has set alarm bells ringing. “South Korea’s surging household debt can trigger serious economic crisis,’’ Jun Sung-in, an economics professor at Hongik University told The Korea Herald in an interview Thursday.“The government’s latest push to ease regulations on home mortgage will increase household debts, which

South Korea will delay implementing its low-carbon vehicle incentive system until 2020 to minimize the fallout for customers and the automobile industry, government policymakers said Tuesday.The announcement, reached at a meeting of economic ministers, indicated that while the government would avoid burdening carmakers and consumers, it would encourage people to buy green cars by offering various incentives.The move will help improve the average greenhouse gas emission mileage standard for the c

South Korea’s household debt is increasing on account of the government’s latest push to boost the housing market and due to a rate cut, according to industry watchers. The total mortgage loans issued by the nation’s seven major banks rose to 301 trillion won ($296 billion) last month, marking a 4 trillion won increase from 297 trillion won in July, according to data from the banking sector. This was more than a twofold increase, compared to an average monthly increase of 1.6 trillion won since

Shin Myung-soo. (Yonhap)Former Shindongbang Group chairman Shin Myung-soo, 73, died last Saturday from colorectal cancer. Shin was a well-known entrepreneur who contributed to the growth of South Korea’s food processing industry. He started his career at Shindongbang Corp. in 1967 and served as a chief executive of the company until 1999. Hit by the Asian currency crisis, the company faced financial difficulties and units of the company were merged into Sajo Haepyo in 1999 and CJ Group in 2002.B

The Korean government is advised to push for the growth of the mobile payment market, not to hold back on security concerns. “Too many concerns over security online may hamper the mobile massenger payment market in an infant stage of growth,” Kim Yeong-rin, president of the Financial Security Agency, told The Korea Herald in a recent interview.His remark came amid growing security concerns over the financial services to be offered by the nation’s most-used mobile messenger, Kakao Talk.Kim Yeong-

The state-run Korea Development Bank is actively promoting technology financing in a bid to keep up with the government’s latest efforts to boost high-tech start-ups that have trouble securing funds. Technology financing involves loans secured on a borrower’s technology. Despite South Korea’s reputation as an IT powerhouse, start-ups still find it difficult to raise capital. To provide better support, the Financial Services Commission, the local financial watchdog, announced a plan in April to s