Traffic Accident Damages

Where a driver causes the death of or injury to another person through the operation of the relevant motor vehicle, the driver must compensate for that harm.

This liability is, in principle, recognized regardless of whether the victim was at fault, and through this the effectiveness of victim protection is enhanced.

However, where all three of the following conditions are proven, the owner may exceptionally be exempted from liability.

Such exceptions are recognized only in very limited circumstances, and generally the owner bears liability.

The 「Guarantee of Automobile Accident Compensation Act」 is a special act enacted for the purpose of the prompt protection and compensation of victims with respect to personal and property harm caused by traffic accidents.

Under this Act, a vehicle owner bears the obligation to compensate for harm within a certain scope regardless of whether the owner was without fault.

In particular, for personal harm such as death or injury, a minimum level of harm is guaranteed to be covered through mandatory insurance, so that a victim can receive a certain level of compensation even without civil litigation.

However, where the harm was caused by an act of suicide or by intent, the harm may be legally excluded from the scope of compensation.

Where the Guarantee of Automobile Accident Compensation Act does not apply, or for harm beyond the liability set out in the Guarantee of Automobile Accident Compensation Act, tort liability under the Civil Act applies.

In this case, the victim must prove that the perpetrator committed an unlawful act intentionally or negligently, and general principles of the Civil Act apply, such as the scope of damages, comparative negligence, set-off of profit and loss, and joint tort.

For example, the following cases fall under this category.

In this way, traffic accident damages has a dual structure in which a special act and the general law operate together, and the outcome can vary greatly depending on how the facts of the harm and the circumstances of the accident are proven and argued.

In the following cases, the government compensates for the victim's harm on the perpetrator's behalf, within the limits of liability insurance.

This system is designed so that a victim can receive minimum protection even where the victim cannot identify the perpetrating vehicle, or where the perpetrating vehicle is not covered by insurance.

▶ Types of accidents eligible for compensation

However, accidents caused by certain special vehicles, such as foreign military vehicles, tow trucks, and off-road vehicles, are excluded from the scope of compensation.

A victim may claim compensation directly, and there are also cases in which the government investigates and compensates on its own authority.

Where a person suffers a serious permanent disability or dies due to a traffic accident, the government may provide support for the livelihood, education, and rehabilitation of the victim's surviving children and dependent family members.

▶ Eligibility requirements for support

▶ Examples of support provided

The amount of support is set according to standards established by the Ministry of Land, Infrastructure and Transport, and is adjusted flexibly depending on the victim's circumstances.

A traffic accident victim may directly claim payment of insurance proceeds from the perpetrator's insurance company.

Medical expenses may be handled through the insurance company paying the hospital directly, and the insurance company must promptly notify the medical institution of whether medical fees can be paid and of the applicable limit.

In addition, where the policyholder has first compensated the victim, the policyholder may obtain reimbursement of that amount from the insurance company within the coverage limit.

A victim may first claim a certain amount in the form of an 'advance payment' even if the loss has not been finalized immediately after the accident.

In the event of death, up to 150 million won is paid, and in the event of injury or permanent disability, an advance payment is paid within the limit set according to the respective injury or disability grade.

This can ease the burden of urgent costs such as long-term treatment or funeral expenses.

The following documents are required to claim ordinary automobile insurance proceeds.

Where the perpetrating vehicle is not identified, or where a person is harmed by an uninsured vehicle, compensation may be claimed through the government's guarantee program.

The documents required in this case are as follows.