Act on Special Cases concerning the Settlement of Traffic Accidents

For the Act on Special Cases concerning the Settlement of Traffic Accidents to apply, the following basic requirements must be met.

▶ An accident caused by the traffic of a vehicle

▶ An accident caused by negligence or gross negligence

When a driver of a vehicle commits the crime under Article 268 of the 「Criminal Act」 (occupational and gross negligence resulting in death or injury) as a result of a traffic accident, the driver is subject to the following punishment.

However, prosecution cannot be brought against the express will of the victim in the case of a driver who commits occupational negligence causing injury or gross negligence causing injury as a result of a traffic accident.

In other words, a special case applies under which a criminal complaint is not filed if the victim does not wish it.

When the vehicle that caused a traffic accident is covered by the following insurance or mutual aid program, the driver may avoid the criminal punishment that falls under the special cases of punishment.

In other words, no criminal complaint is filed against the driver who caused the accident, and instead damages are provided to the victim through the insurance or mutual aid program.

The scope of insurance coverage provided for in Article 4 of the Act on Special Cases concerning the Settlement of Traffic Accidents varies according to the insurance categories of the life insurance business, the non-life insurance business, and the third-sector insurance business under the Insurance Business Act.

▶ Life insurance business (Article 4, paragraph 1, item 1 of the Insurance Business Act)

▶ Non-life insurance business (Article 4, paragraph 1, item 2 of the Insurance Business Act)

▶ Third-sector insurance business (Article 4, paragraph 1, item 3 of the Insurance Business Act)

▶ Where the victim suffers serious bodily injury

Where the victim faces a danger to life, becomes disabled, or contracts an incurable or hard-to-cure disease, criminal punishment may proceed.

▶ Where the insurance contract or mutual aid contract becomes void

Where the insurance contract is void or has been terminated, or where the obligation to pay insurance proceeds has been extinguished due to exemption provisions or similar grounds, the special cases do not apply.

Accidents that fall under the 12 exceptions defined in the Act on Special Cases concerning the Settlement of Traffic Accidents are subject to neither the insurance coverage special cases nor the punishment special cases.

In other words, these accidents do not receive the protection of the Act, and the at-fault party may be subject to ordinary criminal punishment.

The following are the types of accidents that fall under the exceptions.

When an accident occurs, the driver must stop immediately and take measures to aid the victim, and must promptly report the accident to the police and to 119.

If measures at the scene are neglected, the driver may be regarded as a fleeing vehicle (commonly known as hit-and-run) under the 「Act on Aggravated Punishment of Specific Crimes」 and may be subject to heavy criminal punishment.

Article 3, paragraph 2 of the 「Act on Special Cases concerning the Settlement of Traffic Accidents」 provides that, where an accident is not one of the 12 categories of gross negligence, criminal punishment may be exempted if the at-fault party is covered by comprehensive insurance and a settlement has been reached with the victim.

Therefore, it is important to first confirm whether comprehensive insurance coverage exists, and to attempt a prompt settlement with the victim.

Where an accident falls under the '12 categories of gross negligence traffic accidents,' such as violation of a traffic signal, crossing the center line, speeding, or driving without a license, the application of the criminal punishment special cases is restricted.

Even in such cases, a settlement with the victim can work favorably toward a reduction of the sentence, so it is advisable to proceed with negotiations as soon as possible.

Depending on the circumstances of the traffic accident and the degree of negligence, an investigation by the police or the prosecutors' office proceeds, and it may lead to criminal proceedings when necessary.

The driver should secure the statement made on the day of the accident, dashcam footage from the time of the accident, witness statements, and other materials that can objectively establish the degree of the driver's own negligence.

In the case of a traffic accident involving gross negligence or loss of life, the likelihood of criminal punishment is high, so a prompt and strategic response from immediately after the accident is necessary.

In particular, the direction of the statements is determined from the police investigation stage, and this has a significant effect on the subsequent decision to book the case and to indict.

An insurance company may be involved in the adjustment of civil damages, but it can provide little practical assistance with regard to responding to investigative agencies or with the progress of criminal proceedings.

Therefore, at stages that require professional legal judgment, such as the process of settlement with the victim, the determination of negligence, and the structuring of grounds for mitigation of criminal punishment, it is advisable to obtain the assistance of a 🔗traffic accident attorney.

Law Firm Daeryun, drawing on its experience handling numerous traffic accident criminal cases, provides a strategic response according to the particular nature of each accident and the gravity of the matter.

The firm provides integrated legal services ranging from the response at the early investigation stage to the coordination of settlement with the victim and the criminal trial proceedings, and it supports a systematic response aimed at defending against criminal disadvantage to the client.