Terminated Insurance Policies Can Be Restored via Smartphone: Samsung Life Insurance Launches Mobile Reinstatement Service

[Financial News] A service has been introduced that allows insurance policies suspended due to unpaid premiums to be restored via smartphone.
Samsung Life Insurance announced on the 14th that it had launched a mobile policy reinstatement system, allowing customers whose policies were terminated because of overdue premiums to apply for reinstatement and pay their premiums via mobile devices without an in-person procedure.
Policy reinstatement is the process of restoring an insurance policy to active status after its coverage has lapsed because premiums were not paid on time. Applications can be made for policies for which the surrender value has not been received and that were terminated less than three years ago.
Previously, customers had to meet with their assigned consultant in person, complete a reinstatement application, and submit the required documents. With the introduction of this system, Samsung Life Insurance has shifted these in-person procedures to a mobile format.
When customers express their intention to reinstate a policy through a call center or consultant, instructions for the mobile application are sent via Kakao AlimTalk. Following the instructions, customers can verify their identity on a smartphone, complete the required documents, and pay their premiums.
The mobile reinstatement service is available from 8 a.m. to 11 p.m. on weekdays. During identity verification, customers must authenticate their mobile phones and photograph a physical identification card.
Eligibility for the service is also limited. Mobile reinstatement applications are available only for individual customer policies in which the policyholder and the insured person are the same and there is only one insured person.
The company also simplified the procedure for disclosing the “pre-contract disclosure requirements” needed during policy reinstatement. If customers have no medical history during the period when the policy was terminated, the relevant questions can be automatically skipped. In addition, the system reduces the burden of entering information by displaying only the disclosure items required based on the riders included in the customer’s policy.
After a reinstatement application is submitted, the company reviews disclosures regarding medical history and other matters that arose during the termination period. Once the review is completed and the unpaid premiums and interest are paid, the existing insurance policy becomes effective again.
A Samsung Life Insurance representative said, "The mobile policy reinstatement system reduces the burden on customers of having to visit in person or complete complicated paperwork," adding, "We will continue expanding digital convenience services so that customers can use insurance services regardless of time or location." 

[email protected] Hong Ye-ji Reporter