Small Business Natural Disaster Insurance to Expand to All 31 Cities and Counties in Province from Next Year
Suwon NewsPublished 2019.11.24 21:32
Coverage targets businesses with fewer than 10 regular employees in mining, manufacturing, construction, and transportation sectors; other industries with fewer than 5 regular employees … Compensation covers up to 100 million won for storefronts, 150 million won for factories, and 30 million won for inventory; also provides rate discounts on 6 policy-backed loan products
[Suwon Ilbo=Park Nohoon Reporter] Gyeonggi Province announced on the 24th that it plans to expand the 'Small Business Natural Disaster Insurance Project,' which is currently being implemented as a pilot program in three cities and counties including Yongin, Gimpo, and Yangpyeong, to all 31 cities and counties throughout the province starting next year.
Accordingly, small business owners in all 31 cities and counties throughout the province operating workplaces with 10 or fewer regular employees will now be able to prepare for unforeseen disasters at affordable insurance rates.
Coverage targets business operators in mining, manufacturing, construction, and transportation sectors with fewer than 10 regular employees; for other industries, enrollment is available with fewer than 5 regular employees.
The 'Natural Disaster Insurance' is a 'advanced disaster response system' operated under the supervision of the Ministry of the Interior and Safety, where the state and local governments subsidize part of the insurance premiums that policyholders would otherwise bear, enabling citizens to proactively respond to unforeseen natural disasters such as typhoons and earthquakes at affordable insurance rates.
When enrolled in the 'Natural Disaster Insurance,' policyholders receive actual loss compensation up to insurance limits upon damage from eight types of natural disasters including typhoons, floods, heavy rain, strong winds, wind waves, storm surge, heavy snow, and earthquakes: up to 100 million won for storefronts, 150 million won for factories, and 30 million won for inventory assets.
In particular, subscribers to the natural disaster insurance also receive preferential policy loan rate benefits.
Accordingly, business operators seeking to receive support through six policy-backed loan products—▲General Small Business Loans ▲Business Conversion Loans ▲Female Household Head Support Loans ▲Start-up Initial Loans ▲Employment Stabilization Resource Loans ▲Youth Employment Special Loans—can receive a 0.1 percentage point discount on loan rates by submitting a copy of their natural disaster insurance policy to the Small Business Market Promotion Agency or financial institutions.
Small business owners wishing to enroll in the natural disaster insurance can inquire with their city or county disaster management departments, eup/myeon/dong offices, or five private insurance companies (DB Insurance, KB Insurance, Samsung Fire & Marine Insurance, Hyundai Marine and Fire Insurance, and NH Nonghyeop Insurance).
Kim Nam-geun, Director of the Province's Natural Disaster Division, said, "Since small business owners can prepare for unforeseen disasters at reasonable costs and also receive policy loan discounts, we hope many small business owners will enroll in the natural disaster insurance," adding "We will actively promote insurance enrollment through staff training and field briefing sessions visiting each city and county."
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