It covers the part exceeding the industrial-accident benefit, of the damages liability an employer bears under the Civil Act when a worker is injured at work. Essential for construction and manufacturing main/sub-contract works.
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.
It covers the part exceeding the industrial-accident benefit, of the damages liability an employer bears under the Civil Act when a worker is injured at work. Essential for construction and manufacturing main/sub-contract works.
The employer's civil liability (consolation money, lost earnings) exceeding the industrial-accident benefit paid.
Annual site-wide cover or a per-works individual contract (Project Basis).
The insured scope can extend to subcontractor workers to match the principal's liability.
Designed in link with management-official risk and corporate-severe-accident liability.
Policy submission required when winning works — public/private ordered works.
Sectors with high accident frequency/severity.
Logistics centres, power plants, filling stations.
| Mid-sized contractor (50 regular workers · works value 20bn) | Limits: death 300m per accident / disability 300m / injury 10m · key: subcontractor extension · criminal-defence cost · severe-accident response cost |
|---|---|
| Manufacturing factory (30 regular workers) | Limits: death 200m / disability 200m / injury 5m |
| Logistics centre (annual) | Limits: death 200m / disability 200m · key: annual site-wide + commuting-accident extension |
Figures above are sum-insured (cover-limit) design examples, not premiums. (General industry example)
| Policy period | 1 year (annual) or works period (Project Basis) |
|---|---|
| Payment | Lump sum (annual) or converted on works value |
| Insurers | Chubb · DB · KB · Meritz · Hyundai |
| Turnaround | 3–5 business days |
| 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 at a site — a five-scenario self-check
In sectors with high occupational-accident risk — fall, entrapment, collision — the employer's civil liability can arise even after the industrial-accident process.
In public/private works or a subcontract, the principal/orderer often requires a workers'-accident policy as a condition.
The principal's liability can extend to subcontractor/dispatched workers, so the insured scope must be designed to the operating pattern.
With the Act in force, a management official's liability is reinforced, raising the employer's civil-damages burden on a severe accident.
Sites with much field work — logistics centres, power plants, filling stations — always carry accident risk.
It is easy to think "we have industrial-accident insurance, so worker accidents are all covered". But industrial-accident compensation insurance only pays statutory benefits — medical and recuperation benefits — to set criteria; it does not compensate the civil damages an injured worker or bereaved family claims, such as consolation money and lost earnings. On an occupational accident the employer can separately bear damages liability exceeding the industrial-accident benefit under the Labour Standards Act and the Civil Act, and workers' accident liability insurance covers exactly this "excess-over-industrial-accident" employer liability. Industrial-accident and workers' accident are not substitutes but a complementary relationship, stacked one above the other.
Source: (General industry example)
The wording and structure points decision-makers most often overlook
The part fully compensated by industrial-accident insurance is excluded under workers' accident insurance (no double recovery). Workers' accident covers the civil liability "exceeding" the industrial-accident benefit, so holding both leaves no gap.
The principal can be liable for a subcontractor/dispatched worker's accident, but the base policy centres on directly employed workers. Check the subcontractor-worker extension / dispatched-worker endorsement is included.
An annual site-wide contract and a per-works contract differ in cover scope and premium-adjustment method. Review which to use, matched to the form and period of the works won.
The questions decision-makers ask most when considering domestic workers' accident liability insurance
Industrial-accident compensation insurance pays statutory benefits — medical and recuperation benefits — to set criteria. But the civil damages an injured worker or bereaved family claims, such as consolation money and lost earnings, are not resolved by industrial-accident compensation alone. Workers' accident liability insurance covers the employer's civil liability exceeding the industrial-accident benefit, so the two are not substitutes but are held together.
The principal's liability may extend to subcontractor/dispatched workers. But the base policy centres on directly employed workers, so the insured scope should be widened to the operating pattern via a subcontractor-worker extension or dispatched-worker endorsement.
An accident during commuting is usually handled, separately from base cover, by a commuting-accident extension. Check the endorsement against the site's work/commuting pattern.
There is an annual contract covering the whole site, and a per-project contract (Project Basis) designed per individual works. The cover scope and premium-adjustment method differ, so review which suits the form and period of the works won.
With the Severe Accident Punishment Act in force, a management official's liability is reinforced on a severe accident, raising the employer's civil-damages risk too. This insurance covers employer liability to the injured worker, while the management-official risk is usually reviewed together with the related liability insurance.
The insurer assesses it on the sector and work-risk level, the number of regular workers and wage scale, the works value, the limit and endorsements, and past accident history. High-risk work involving frequent falls or heavy-object handling may be underwritten more carefully. The exact premium and acceptance are confirmed after underwriting by insurers such as AIG, Chubb, DB, KB, Meritz and Hyundai.
