KB Insurance launches fair-trade compliance program

KB Insurance held a launch ceremony Thursday afternoon at its headquarters in Yeoksam-dong, Gangnam-gu, Seoul, to formally introduce a fair-trade compliance program, the company announced Friday.

The program is an internal compliance system that companies operate to voluntarily observe fair-trade laws and regulations. It aims to prevent unfair trade practices by setting behavioral standards for employees and building a legal compliance framework.

With the program in place, KB Insurance plans to advance fair competition across all business areas — from insurance product development and sales to subcontracting, outsourcing management and transactions among affiliates. President Koo Bon-wook had earlier stressed the point at the company's New Year ceremony, saying, "Ethics management, internal controls and consumer protection are non-negotiable absolute values directly tied to customer trust," and adding that "KB Insurance's approach must become the industry standard."

KB Insurance also used the occasion to upgrade its fair-trade risk assessment framework, designed to identify and prevent compliance risks before they arise. The company plans to sharpen monitoring across high-risk areas, including advance screening of insurance product rules and advertising for potential unfairness, ensuring transparency in agency fee management, and enforcing subcontracting law compliance in IT and loss-adjustment outsourcing.

To strengthen the program's effectiveness, KB Insurance expanded the authority and responsibilities of its chief compliance officer, who reports directly to the chief executive. All employees also took part in a compliance pledge ceremony to reaffirm the company's commitment to lawful management.

"We plan to layer this advanced fair-trade compliance program on top of the strong internal control capabilities we have long maintained, maximizing the effectiveness of risk management," a KB Insurance official said. "We will work to embed a culture of fair competition so that KB Insurance becomes an even more trusted company in the eyes of our customers."