Traditional Korean medicine hospitals emerged as a key focus for regulators after the number of improper claims detected surpassed the full-year 2025 total within nine months.
As industry bodies warn that surging motor insurance fraud could result in higher premiums, consumer advocates are demanding stronger scrutiny of claims data.
The insurer has voluntarily stopped writing new business since February, but the FSA is planning a formal order after employees improperly obtained JPY3.1bn (US$19.7m) from about 500 customers.
