“Haven’t you claimed it?” ... KRW 10.3 trillion in insurance benefits still unclaimed

[Financial News] As of the end of last year, unclaimed insurance benefits that had yet to find their owners totaled approximately KRW 10.3 trillion. Although approximately KRW 3.247 trillion in unclaimed benefits found their owners last year alone, a substantial amount of insurance benefits remains unclaimed.
The Life Insurance Association of Korea said on the 27th that it would launch a nationwide joint campaign with the Korea Inclusive Finance Agency to encourage people to claim insurance benefits. The campaign will focus on promoting the official Find My Insurance service, which lets users check their insurance policy details and unclaimed benefits, and making it easier for older people to look up and claim benefits.
Unclaimed insurance benefits are benefits for which the payable amount has been determined but which consumers have not claimed. Common reasons include not knowing that benefits have become payable or assuming that a high interest rate will continue to apply even after an insurance policy matures. Maturity benefits, interim benefits and dormant benefits are typical examples.
This year, the association plans to step up its offline outreach, particularly to older people who are not accustomed to using non-face-to-face financial services such as those offered online and on mobile devices. In cooperation with consumer groups, it will provide on-site guidance on how to check insurance policy details and find unclaimed benefits. It will also use a range of channels, including videos and promotional materials in apartment elevators and at life insurers’ customer service centers, as well as economic publications and senior-focused YouTube channels and blogs.
With the cooperation of the Financial Services Commission and the Ministry of the Interior and Safety, insurance companies also plan to send notices by mail to the latest addresses on file for policyholders and others, or provide notifications on mobile devices. The aim is to reduce cases in which consumers miss out on claiming benefits because they are unaware that benefits have become payable.
The association will also work to prevent personal information from being misused through lookalike websites. This follows cases in which websites or apps with names similar to Find My Insurance collected personal information and used it for insurance sales and other purposes. The association plans to advise consumers to check who operates a service before using the official one.
A representative of the Life Insurance Association of Korea said, “We plan to step up our outreach so that no consumers miss out on unclaimed insurance benefits because they are unaware that benefits have become payable or do not know how to check for them. In particular, we will support financial consumers, including older people, in checking for unclaimed benefits through the official service and exercising their rightful entitlements.”
[email protected] Hong Yeji Reporter