FSC eases insurance collectors’ requirement

The government will lower the bar for tie-in sales with insurance for certain products, financial authorities said on Tuesday.

At present, all insurance consultants are required to take an examination to obtain their license. However, starting July next year, insurance consultants within a select group of industries will be exempt from taking the examination, and will be able to sign up customers.

These industries include the retailers of electronic appliances, real estate agencies and travel agents, which need specialized kinds of insurances.

“The exemptions will be granted only to the insurance consultants who deal with one or two insurance plans that specialize in the major product being sold,” the Financial Services Commission said in a press briefing on insurance policy changes in Seoul.

Once the act goes into effect, the insurance agents without a consultants’ license will be able to solicit customers for tablet PC insurance at supermarket chains. Similarly, they will be able to sell travelers’ insurance at travel agencies. Those who purchase houses will also be able to sign up for fire insurance plans.

The FSC acknowledged that easing the requirements could lead to misleading contracts, but vowed to regulate the deals strictly on par with other licensed insurance firms.

By Chung Joo-won (joowonc@heraldcorp.com)