Payouts for fraudulent insurance claims hit new high in 2025: Data

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Published: 31 Mar. 2026, 14:51

The Financial Supervisory Service headquarters in Yeouido, western Seoul, is seen on Aug. 15, 2022. [NEWS1]

Payouts for fraudulent insurance claims rose to an all-time high last year, although the number of fraud cases fell, the financial watchdog said on Tuesday.

Insurance scammers took a record 1.16 trillion won ($755 million) through wrongful filings last year, up 6.9 billion won, or 0.6 percent, from a year earlier, according to the Financial Supervisory Service (FSS).

Payouts for insurance fraud claims have been on a steady rise, reaching 1.08 trillion won in 2022 and 1.12 trillion won the following year, according to the financial watchdog.

The number of suspects involved in such cases fell 3 percent on year to some 105,700 in 2025.

The FSS said it will further step up efforts to crack down on fraudulent insurance claims in cooperation with other related agencies, including the police.

Yonhap