SEOUL, Nov.24 (Korea Bizwire) – Next week, an online insurance supermarket will open for the first time in Korea. Customers will be able to compare different insurance plans online, and once a decision is made, even sign up for their chosen program. Officials say that by next year, online insurance shopping should be normalized as it will be easy to compare prices and compensation online through portal sites.
The Financial Services Commission and insurance industry representatives announced that they will be test operating an online insurance supermarket called ‘Insurance Damoa’ (www.e-insmarket.or.kr).
The insurance supermarket is an online platform which a consumer can use to compare prices and features of different insurance plans and sign up afterwards. It will be run by both the Korea Life Insurance Association and the General Insurance Association of Korea.
The Financial Services Commission announced the adoption of the online insurance supermarket as part of a bid to strengthen the competitive edge of insurance programs. The commission established a task force together with representatives from the insurance industry and prepared the launch of the site.
The website offers users the chance to compare a vast variety of different insurance types and plans, including 25 simple insurance plans, 11 car insurance plans, seven travel insurance plans, 36 annuity insurance plans, 85 term insurance plans and 43 deposit insurance plans. A total of 207 types of the most popular insurance plans in six different categories can be currently viewed through the new online platform.
Thirty-six insurance companies, including 13 general insurance companies and 23 life insurance companies, are participating in the insurance supermarket.
Consumers who want to sign up can go to the home page, select the type of insurance needed, compare different options and features among companies and then sign up after selecting the one that suits their needs the best.
A test operation will take place starting from November 30, and after gradually expanding the boundaries, actual management of the platform will start in April 2016.
In addition, the information found in the insurance supermarket will be provided to internet portal sites, increasing accessibility. The comparison features will also be advanced.
With the launch of the online insurance supermarket, price competition between insurance companies is expected to become fierce. The development of new insurance plans is also expected to be accelerated.
By Francine Jung (Francine.email@example.com)