Financial Supervisory Service (FSS) is looking at insurers for hiking insurance premiums, fees as well as other issues.
The financial regulator last month looked into non-life insurers to check their damage inspection fees, which are a key element in calculating insurance premiums, after Meritz Fire & Marine Insurance were found to have excessively raised the fee, reported The Korea Times.The hike came at a time when other non-life insurers raised their insurance premiums. Meritz did not raise its insurance premium, but increased the damage inspection fee instead.The damage inspection fees of major non-life insurers ? Samsung Fire & Marine Insurance, Hyundai Marine & Fire Insurance, DB Insurance and KB Insurance ? stand at 3% to 3.8%. This is a one percentage point hike from the previous year. Insurers change the rate in April or October every year.Meritz, however, was found to have raised its damage inspection fee multiple times, and applied a different rate for different policies. The rate for its long-term policies stood at 5%, policies for children at 6% and for drivers at 18%. These mark a 3-percentage point, 2-percentage point and 7-percentage point hike, respectively, from last year.

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