Compulsory liability cover, under the Act on the Management of Outdoor Advertisements and Promotion of the Outdoor Advertising Industry, for the liability of those who install or manage outdoor displays (signs, display boards, banners and so on) from falling, collapse or electrical accidents.
N2N Insurance Brokerage does not represent any single insurer — it independently represents the client as an FSS-registered broker (Reg. No. 2026-012201). We compare the wordings, rates and service of AIG · Chubb · DB · Hyundai · KB · Meritz to propose the cover and price best suited to your risk. Each insurer's full wording is provided at application and binding.
Compulsory liability cover, under the Act on the Management of Outdoor Advertisements and Promotion of the Outdoor Advertising Industry, for the liability of those who install or manage outdoor displays (signs, display boards, banners and so on) from falling, collapse or electrical accidents.
Advertising agency and installation.
Managing rooftop signs.
LED and media façades.
| Large signs | Special cover by height/area |
|---|---|
| Event advertising | Short-term banners and posters |
| Media façade | Building-façade LED |
| Policy period | 1 year |
|---|---|
| Insurer | Hyundai |
| Limit | Statutory minimum + α |
| Turnaround | 1–3 weeks |
| Channel | Individual consultation with our broker (010-5755-6465) |
If the insured event has already occurred at the time the contract is made, the contract is void. However, where the contract is void due to the company's intent or negligence, or where the company knew or could have known of the nullity before acceptance yet did not refund the premium, the company refunds the premium with interest at the policy-loan rate published by the Korea Insurance Development Institute, compounded annually, for the period from the day after payment to the day of refund.
The specific losses not covered (exclusions) are set out in each insurer's policy wording and product description; on this page, see the “Cover” tab(or the “Losses not covered” section) for the main exclusions. For other cover-specific grounds on which claims are not paid, please refer to the policy wording.
The company provides cover, in accordance with the policy, from the time it accepts the application and receives the first premium. Where the company accepts the application after receiving the first premium with it, cover also begins from the time the first premium was received.
The application must be completed by the policyholder, and the policyholder and the insured must sign it by hand. Failure to sign by hand may result in disadvantages regarding the validity of the contract. On an internet cyber-mall, an electronic signature may be used instead.
The policyholder has the right to be given and have explained the information needed about the product they wish to buy.
The insurer and N2N Insurance Brokerage must explain the important matters of the product to ordinary financial consumers.
When applying, the policyholder, the insured or their agent must disclose truthfully the facts they know regarding the questions in the application (including the questionnaire). Otherwise the claim may be declined or the contract cancelled. Where insurance is taken out by telephone or other means of communication, the duty is performed by answering the seller's questions, which are recorded, without a separate written questionnaire, so answers must be given with particular care.
If, after the contract is made, any of the following arises in respect of the subject-matter insured, the policyholder or the insured must notify the company in writing without delay and obtain endorsement on the policy.
The surrender value is the amount paid if the contract is cancelled early. Unlike bank savings, insurance combines risk protection and savings: part of the premium is paid out as claims to other policyholders who suffer accidents, and part covers the insurer's operating expenses, so the surrender value on early cancellation may be less than the premiums paid, or nil.
Under Article 59-4(1) of the Income Tax Act (special tax credit), for protection-type insurance taken out by an employee only, a tax credit of 12% of the premium paid (capped at KRW 1 million per year) is available. Tax matters may change with amendment or repeal of the relevant tax law.
Except as provided by law, the insurer and N2N Insurance Brokerage do not collect, use, inspect or provide personal data related to this contract — for its conclusion, maintenance and claim payment — without the consent of the policyholder, the insured or the beneficiary. However, for those purposes the insurer may, with the consent of the policyholder and the insured and in accordance with law, provide personal data to other insurers and insurance-related bodies.
The above is a summary and excerpt of the policy wording; for grounds on which claims are not paid and other details, please refer to the policy wording and product description.
Risk patterns that come up often in outdoor-display operation — a five-scenario self-check
Poor installation or ageing of a display can lead to a falling or collapse accident, harming pedestrians and vehicles.
A building owner holding a large sign bears management responsibility for display accidents.
LED display boards and media façades carry electrical-accident risk such as fire and electric shock.
A large display exposed to wind faces a higher risk of falling or collapse in strong wind or a typhoon.
Sign installation and removal at height carry accident risk during the work.
An outdoor-display accident harms not so much the display itself as "the people and vehicles passing beneath it." When a sign falls from wind, ageing or poor installation, or a large sign collapses, loss arises to pedestrians, vehicles and nearby facilities, and electrical fire or shock from a display board also leads to third-party harm. Outdoor advertising liability insurance covers the advertising operator's or sign owner's liability for such accidents. But there is a clear boundary. An illegal display installed without a report, a state of un-conducted safety inspection, and a display left unattended while a weather warning is in force are within the exclusions. Lawful installation and regular safety inspection are the premise of cover.
Source: (General industry example)
The wording and structure points decision-makers most often overlook
Accidents from an illegal display installed without a report, or in a state of un-conducted safety inspection, are excluded. Apart from the insurance, lawful installation and inspection requirements must be met.
An accident from leaving a dangerous display unattended while a weather warning is in force can be excluded. Prior safety measures are needed.
Large signs, short-term banners and building-façade LED carry different risks. Check that the cover matches the type of display you run.
The questions decision-makers ask most when considering outdoor advertising liability insurance
It covers loss to pedestrians, vehicles and nearby facilities — and defence costs — from the falling or collapse of a sign or display board, accidents during installation or removal, and electrical fire or shock.
Outdoor-advertising operators who install and manage displays, building owners holding large displays such as rooftop signs, and operators of display boards and media façades are the targets.
Exclusions include illegal displays installed without a report, a state of un-conducted safety inspection, leaving a dangerous display unattended during a weather warning, and intent/gross negligence.
A display falling from wind or ageing can be covered. But cover may be limited where the safety inspection was not carried out or the display was left unattended during a weather warning.
Large signs, short-term banners and building-façade LED differ in risk, so they are often handled under separate endorsements. Check whether the cover matches the type of display you run.
The insurer assesses it on the size, location, number and type of displays, the limit, the safety-inspection system and past incident history. The exact premium and acceptance terms are confirmed after underwriting by insurers such as AIG, Chubb, DB, KB, Meritz and Hyundai.
