Article 1(Purpose) #
The purpose of this Rule is to provide for detailed matters necessary for the enforcement of the Act on the Indemnification for Fire-Caused Loss and the Purchase of Insurance Policies. <Amended by Ordinance of the Ministry of Finance No. 998, Jan. 10, 1974; Ordinance of the Prime Minister No. 645, Jul. 10, 1997; Ordinance of the Prime Minister No. 946, Dec. 27, 2010>
Article 1-2 #
Deleted.<by Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
Article 2(Actual Damages) #
(1) Actual damages under Article 5 (1) 1 of the Enforcement Decree of the Act on the Indemnification for Fire-Caused Loss and the Purchase of Insurance Policies (hereinafter referred to as the "Decree") shall be the sum of the amount calculated by multiplying monthly wages, actual monthly wages or average wages that a victim received as at the time of his/her death from a fire by his/her employable period in the future, and the funeral expenses amount to 100 days of men's average wages. <Newly Inserted by Ordinance of the Prime Minister No. 645, Jul. 10, 1997; Ordinance of the Prime Minister No. 946, Dec. 27, 2010>
(2) Actual damages under Article 5 (1) 2 of the Decree shall be the amount of all expenses incurred for the treatment of a physical injury from a fire. <Amended by Ordinance of the Ministry of Finance No. 1862, Oct. 21, 1991; Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
Article 2-2(Determination of Market Price of Special Buildings) #
(1) The market price of a special building provided for in Article 8 (1) 1 of the Act on the Indemnification for Fire-Caused Loss and the Purchase of Insurance Policies (hereinafter referred to as the "Act") shall be determined in the manner described in any of the following subparagraphs: <Amended by Ordinance of the Ministry of Finance No. 1590, Dec. 15, 1983; Ordinance of the Ministry of Finance No. 1862, Oct. 21, 1991; Ordinance of the Prime Minister No. 645, Jul. 10, 1997; Ordinance of the Prime Minister No. 885, Aug. 4, 2008; Ordinance of the Prime Minister No. 946, Dec. 27, 2010>
1. Where an appraisal business operator under the Public Notice of Values and Appraisal of Lands, etc. Act has conducted the appraisal and assessment on a special building during the latest one year, the market price of such building shall be the value stated on the appraisal certificate;
2. Where the owner of a special building is a listed corporation under the Financial Investment Services and Capital Markets Act, the market price of such building shall be the book value or balance sheet value;
3. Deleted. <by Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
(2) Where the value of a special building cannot be calculated pursuant to paragraph (1), it shall be the amount calculated under each of the following subparagraphs: <Amended by Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
1. Value of a newly constructed building: The amount calculated by using the most recent construction cost index set by the Government-invested specialized appraisal institution;
2. Reinstatement value of machinery and equipment: The transaction prices of machinery and equipment of identical or similar type, purpose of use, manufacturing company, form and capability to those of the relevant machinery and equipment;
3. Amount of depreciation of a building and machinery and equipment: The amount calculated by multiplying the value falling under either of the following items by the depreciation rate based on the insurance value and appraisal standards of losses determined by the General Insurance Association of Korea, established under Article 198 of the Insurance Business Act:
(a) In cases of a building and subsidiary facilities, the value provided for in subparagraph 1;
(b) In cases of machinery and equipment, the value provided for in subparagraph 2.
(3) In determining the market value of a special building pursuant to paragraph (2), the determined market value of such building may be increased or decreased by up to 20 percent with agreement between the parties to the insurance contract. <Amended by Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
Article 3(Basis for Calculation of Membership Fees) #
(1) The revenue under Article 10 (1) of the Decree shall accrue from the insurance premiums jointly underwritten by the Korea Fire Insurance Association (hereinafter referred to as the "Association") according to mutual agreements provided for in Article 17 (1) of the Insurance Business Act. <Amended by Ordinance of the Ministry of Finance No. 1862, Oct. 21, 1991>
(2) In terms of the membership fees to be obligatorily contributed by all non-life insurance companies pursuant to Article 10 (2) of the Decree, 70/100 of the total membership fees shall be contributed by each non-life insurance company in proportion to the insurance sales rate based on net premiums (referring to the amount calculated by deducting the sum total of outward reinsurance premiums, surrender value and maturity repayment from the sum total of original premiums, inward reinsurance premiums and reinsurance return premiums) of which each non-life insurance company informs the General Insurance Association of Korea each month, and 30/100 of the total membership fees shall be contributed equally by each non-life insurance company. <Amended by Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
(3) The Association shall submit to the Financial Services Commission a report on the total amount of membership fees to be obligatorily contributed by non-life insurance companies pursuant to paragraph (2) along with its business plan. <Amended by Ordinance of the Prime Minister No. 645, Jul. 10, 1997; Ordinance of the Ministry of Finance and Economy No. 16, Apr. 21, 1998; Ordinance of the Prime Minister No. 875, Mar. 3, 2008>
[This Article Wholly Amended by Ordinance of the Ministry of Finance No. 1590, Dec. 15, 1983]
Article 4(Time of Contribution) #
(1) The membership fees under Article 10 (1) of the Decree shall be contributed quarterly by no later than 10 days from the last day of the relevant quarter. <Amended by Ordinance of the Ministry of Finance No. 1100, Apr. 25, 1975; Ordinance of the Ministry of Finance No. 1590, Dec. 15, 1983; Ordinance of the Ministry of Finance No. 1862, Oct. 21, 1991>
(2) The membership fees under Article 10 (2) of the Decree shall be contributed monthly by no later than 10 days from the relevant month. <Amended by Ordinance of the Ministry of Finance No. 1862, Oct. 21, 1991; Ordinance of the Prime Minister No. 645, Jul. 10, 1997>
Article 5(Special Buildings, etc. Exempt from Safety Inspection) #
(1) "Special building having a low fire risk index (referring to the fire risk index determined by an insurance premium rate calculation institution pursuant to Article 176 of the Insurance Business Act) which is determined by Ordinance of the Prime Minister as a result of safety inspections" in Article 16 (1) 1 of the Act means a special building falling under Grade I in safety in accordance with fire risk index determined by an insurance premium rate calculation institution under Article 176 of the Insurance Business Act (hereinafter referred to as "fire risk index") as a result of a safety inspection conducted pursuant to Article 16 of the Act: Provided, That special buildings under Article 2 (1) 3 of the Decree and special buildings in which a fire has taken place within the last ten years shall be excluded here from.
(2) "Special building having a low fire risk index which is determined by Ordinance of the Prime Minister" in Article 16 (1) 2 and 3 of the Act means a special building falling under Grade I in safety in accordance with fire risk index (where the Financial Services Commission determines standards equivalent to the fire risk index pursuant to paragraph (3), referring to such standards) as a result of a safety inspection conducted pursuant to Article 16 of the Act: Provided, That special buildings in which a fire has taken place within the last ten years shall be excluded herefrom.
(3) With respect to special buildings under Article 16 (1) 2 and 3 of the Act, the Financial Services Commission may determine standards equivalent to the fire risk index following the consultation with the head of a central administrative agency in charge of the management or supervision of the relevant special building.
[This Article Newly Inserted by Ordinance of the Prime Minister No. 946, Dec. 27, 2010]