CONTENTS
- 1. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Account
- 2. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Charge
- 3. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Defense
- - Fraud Attorney's Assistance 1 | The Client's Intent to Deceive
- - Fraud Attorney's Assistance 2 | The Amount of the Settlement
- 4. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Disposition
1. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Account
This is the account of a client who sought the assistance of an attorney experienced in insurance fraud after the case was referred to the prosecution on a charge of violation of the Special Act on Prevention of Insurance Fraud.
The client was a person working in delivery using a motorcycle.
On the day of the incident, while traveling in the fourth lane, a vehicle in the adjacent lane suddenly made an abrupt lane change into the client's lane, and an accident occurred.
The client then had a phone conversation with the staff member in charge of claim intake at the insurance company with which the owner of the adjacent vehicle was insured, and explained that they had suffered harm because of that vehicle.
The insurance company paid the client approximately five million won for medical expenses, a settlement amount, and motorcycle repair costs.
Afterward, the insurance company argued that, if the client had recognized that the adjacent vehicle was changing lanes, the client should have slowed down or avoided it, and that the accident occurred because the client did not take such measures.
On this basis, the insurance company filed a complaint for violation of the Special Act on Prevention of Insurance Fraud, alleging that the client had deceived the insurance company and obtained the insurance proceeds, and the client's case was referred to the prosecution.
2. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Charge
The Special Act on Prevention of Insurance Fraud is a statute enacted to prevent insurance fraud crimes, which are increasing day by day, by imposing more severe punishment on insurance fraud than on simple fraud crimes.
Insurance fraud refers to the crime of deceiving the insurer, that is, the insurance company, regarding the occurrence, cause, or contents of an insured event in order to claim insurance proceeds.
A person who commits the crime of insurance fraud is subject to the following punishment.
▶Article 8 of the Special Act on Prevention of Insurance Fraud (🔗Insurance Fraud)
1. A person who acquires insurance proceeds through an act of insurance fraud or causes a third party to acquire insurance proceeds
3. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Defense
For the client charged with violation of the Special Act on Prevention of Insurance Fraud, the attorney proceeded with the defense as follows.
Fraud Attorney's Assistance 1 | The Client's Intent to Deceive
For the client, the attorney emphasized that the client had no intent to deceive the insurance company.
The client failed to notice in time the vehicle in the adjacent lane that suddenly changed lanes, and so could not respond.
The accident in this case occurred solely through the fault of the other vehicle, and the client did not cause the accident on purpose at all.
Fraud Attorney's Assistance 2 | The Amount of the Settlement
For the client, the attorney emphasized that the amount of the settlement the client received was not high.
If the client had intended to commit insurance fraud with an eye on the settlement amount and the insurance proceeds, the client would have exaggerated the extent of the harm to increase that amount.
However, the client did not exaggerate the harm and received only a total of five million won, combining the medical expenses, the settlement amount, and the motorcycle repair costs, which shows that the client did not commit the crime of insurance fraud.
4. Violation of the Special Act on Prevention of Insurance Fraud | The Client's Disposition
A non-prosecution disposition was issued for the client charged with violation of the Special Act on Prevention of Insurance Fraud.
The client was at risk of receiving an actual custodial sentence, facing a charge of insurance fraud, which is punished more severely than a simple fraud crime.
With the assistance of the attorney, it was possible to defend against an actual custodial sentence and conclude the case with non-prosecution at the prosecution stage.
In the case above, severe punishment is the recent trend, so it is important to respond as soon as a charge is raised.
If you are facing the same charge as the client in this case, please request a consultation now from Daeryun, the ninth-ranked law firm in the Republic of Korea (based on 2025 National Tax Service value-added tax filings), through its 🔗Attorney Recommendation.
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