Additional cover compensating the consolation money, lost earnings and nursing costs the employer may bear under the Civil Act, exceeding the limit compensated by industrial-accident insurance. Recommended as a Severe Accident Punishment Act (SAPA) response package.
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.
Additional cover compensating the consolation money, lost earnings and nursing costs the employer may bear under the Civil Act, exceeding the limit compensated by industrial-accident insurance (average-wage-basis absence, recuperation and disability benefits). Recommended as a Severe Accident Punishment Act (SAPA) response package.
Sites within the Severe Accident Punishment Act.
High occupational-accident frequency/severity sectors.
Sites bearing high single-accident damages risk.
| Domestic WC combination | Workers' accident liability link |
|---|---|
| SAPA response | Severe-accident-response cost |
| Cumulative limit | Multiple-accident design |
| Policy period | 1 year |
|---|---|
| Insurers | AIG · Chubb · DB · KB · Meritz · Hyundai (compared) |
| Limit | Death / disability by accident type |
| Turnaround | 2–4 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
With the Act in force, the employer's civil-damages risk on a severe accident rises.
Sectors with high occupational-accident frequency/severity face a large excess over industrial accident.
The higher the wages, the larger the lost-earnings gap on a single accident.
A fatal accident's consolation money and lost earnings far exceed the industrial-accident benefit.
Responding to a civil damages claim incurs sizeable legal costs.
The most often missed fact in excess-over-industrial-accident insurance is that the employer's liability does not end even with industrial-accident insurance. Industrial-accident insurance is fixed-amount compensation on the average-wage basis, so it cannot fully cover consolation money, the gap to actual lost earnings, or nursing costs. For this reason a worker or bereaved family can, separately from the industrial-accident process, claim civil damages from the employer, and that excess over industrial accident falls to the employer directly. Excess-over-industrial-accident insurance compensates exactly this excess — consolation money, lost earnings, nursing cost, bereaved consolation money and funeral cost — and the related legal-defence costs, on the employer's behalf.
Source: (General industry example)
The wording and structure points decision-makers most often overlook
Industrial-accident insurance is fixed-amount compensation on the average-wage basis and cannot fully cover consolation money or the lost-earnings gap. The employer's civil-damages liability for that excess remains separately.
An accident during a non-work activity or under alcohol/drugs is excluded. This insurance handles the employer's liability for a work-related accident.
Responding to a civil damages claim incurs sizeable legal costs. Check the defence costs are included in cover.
The questions decision-makers ask most when considering excess-over-industrial-accident insurance
Industrial-accident insurance is fixed-amount compensation on the average-wage basis, so it cannot fully cover consolation money, the gap to actual lost earnings, or nursing costs. A worker/bereaved family can claim civil damages for that excess from the employer, and this insurance covers that excess.
It covers the civil damages the employer comes to bear for an occupational accident — consolation money, lost earnings, nursing costs, bereaved consolation money and funeral costs — and the legal-defence costs.
Excess-over-industrial-accident insurance handles the employer's civil damages from a worker accident, while corporate severe-accident liability handles a management official's personal criminal liability under the Severe Accident Punishment Act. The cover areas are distinct and held together.
A worker's intent/self-harm, an accident under alcohol/drugs, and an accident during a non-work activity are excluded.
An overseas-work accident is the area of overseas workers' accident insurance. If you also run an overseas business, domestic and overseas workers' accident can be designed in combination.
The insurer assesses it on the sector and occupational-accident risk, worker numbers and total wages, the limit and past accident history. The exact premium and acceptance are confirmed after underwriting by insurers such as AIG, Chubb, DB, KB, Meritz and Hyundai.
