Gyeonggi Province Automatically Enrolls Residents in Climate Insurance

This summer, record-breaking heatwaves have led to a surge in heat-related illnesses. In response, public climate insurance programs that provide payouts for heat-related illness diagnoses have gained attention. These insurance schemes require no separate enrollment or premium payments.

According to the insurance industry on the 23rd, Gyeonggi Province’s “Gyeonggi Climate Insurance” automatically enrolls approximately 14 million people without additional procedures. Eligible beneficiaries include Gyeonggi residents and registered foreigners within the province.

The insurance covers heat-related illnesses, cold-related conditions, climate disasters, and infectious diseases. For example, emergency room visits due to heat- or cold-related illnesses or climate disasters result in a payout of 100,000 Korean won, while diagnoses of heatstroke, sunstroke, heat exhaustion, or heat syncope yield 150,000 Korean won.

Compensation is available regardless of existing private insurance policies, and duplicate payouts are permitted. Gyeonggi Province covers the full premium, with five insurers participating: Meritz Fire Insurance as the representative insurer, alongside NH Property and Casualty Insurance, KB손해보험, Hanwha General Insurance, and Hyundai Marine & Fire Insurance.

Additionally, citizen safety insurance programs operated by local governments, including Seoul City Hall, cover deaths, disabilities, or diagnostic costs from heatstroke, sunstroke, and other heat-related illnesses. A total of 228 local governments nationwide support such insurance, which also covers daily-life accidents.

These programs also require no enrollment or premium payments. Residents of the respective regions are automatically eligible. However, coverage and benefits vary by local government, so beneficiaries should verify details. Claims must be submitted directly to the insurer after an incident occurs.

Last year, citizen safety insurance payouts totaled 34.4 billion Korean won. Over the past three years, the primary causes of payouts were burns (31.7%), dog bite incidents (23.5%), and accidents during public transportation use (10.2%).

A source from the insurance industry stated, “Citizen safety insurance allows duplicate payouts based on coverage if a beneficiary is enrolled in both metropolitan and municipal programs. However, many people remain unaware they are even insured when a claimable incident occurs.”

Other public insurance products supporting disaster preparedness include flood and wind insurance, crop disaster insurance, and livestock disaster insurance. These programs reduce enrollee burdens by having the government or local authorities cover 50–100% of premiums.