CHAPTER I GENERAL PROVISIONS
The purpose of this Act is to encourage trade and overseas investment, thereby to enhance national competitiveness and to contribute to growth of the national economy, through efficient operation of the trade insurance system designed to cover risks arising in connection with trade or other foreign transactions.
[This Article Wholly Amended on Apr. 5, 2010]
The terms used in this Act shall be defined as follows:
| 1. | The term "trade" means the exportation and importation under subparagraph 1 of Article 2 of the Foreign Trade Act: Provided, That importation shall be limited to the importation of resources and goods that are important for the national economy; |
| 2. | The term "other foreign transactions" means any of the following transactions: |
| (a) | Overseas investments; |
| (b) | Transactions for securing overseas resources; |
| (c) | Transactions expected to lay the foundation for export, have the effect of acquiring foreign currencies, or otherwise boost export through trade insurance, export credit guarantee, etc. and recognized by the Korea Trade Insurance Corporation (hereinafter referred to as the "Corporation") under Article 37. |
[This Article Wholly Amended on Apr. 5, 2010]
| Article 3 (Types of Trade Insurance) |
The types of trade insurance shall be determined by the Corporation after obtaining approval from the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013>
[This Article Wholly Amended on Dec. 27, 2007]
[Title Amended on Apr. 5, 2010]
| Article 3-2 (Coinsurance and Reinsurance) |
Where the Corporation deems it necessary for efficient operation of trade insurance and proper diversification of risks, it may offer coinsurance or reinsurance. <Amended on Apr. 5, 2010>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 4 (Premium Rates) |
The premium rates for trade insurance shall be determined by the Corporation in a manner to ensure balance between revenues and expenditures of trade insurance business after obtaining approval from the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 5 (Termination of Contracts) |
Where the policyholder or the insured of trade insurance violates this Act or any order issued hereunder, the Corporation may take any of the following measures: <Amended on Apr. 5, 2010>
| 1. | Rejection to payment of insurance money under the relevant insurance contract; |
| 2. | Collection of all or part of insurance money paid; |
| 3. | Cancellation or termination of the relevant insurance contract. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 5-2 (Payment of Insurance Money) |
Upon occurrence of perils insured or perils under credit guarantee, the Corporation shall pay insurance money or subrogation in accordance with a claim for insurance money or performance of guaranteed obligations.
[This Article Newly Inserted on Apr. 5, 2010]
[Previous Article 5-2 moved to Article 5-3 <Apr. 5, 2010>]
| Article 5-3 (Subrogation of Insurance) |
| (1) | Where the Corporation has paid insurance money, it may acquire all or part of the subject matter of the relevant insurance or the rights that the policyholder or the insured of trade insurance has against a third party. <Amended on Apr. 5, 2010> |
| (2) | Any policyholder or insured to whom insurance money has been paid shall endeavor to recover the relevant claims, as determined by the trade insurance contract. <Amended on Apr. 5, 2010> |
[This Article Wholly Amended on Dec. 27, 2007]
[Moved from Article 5-2 <Apr. 5, 2010>]
| Article 6 (Limitation of Establishment of Insurance Relations) |
| (1) | The Corporation may cause, ex nunc, a trade insurance relationship under a provisional trade insurance contract already entered into not to take effect, in cases of increased risks in trade or other foreign transactions or where otherwise deemed necessary for the operation of trade insurance business. <Amended on Apr. 5, 2010> |
| (2) | If the Corporation intends to take measures under paragraph (1), it shall, in advance, notify the policyholder of such intent. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 7 (Prevention of Adverse Selection of Perils Insured) |
The Corporation may, where deemed necessary for prevention of adverse selection of perils insured by the policyholder or the insured of trade insurance, take the following measures: <Amended on Apr. 5, 2010>
| 1. | Limitation on insurance coverage period; |
| 2. | Limitation on the date of commencement of insurance liabilities. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 7-2 (Effect of Blanket Insurance) |
The Corporation may, where deemed necessary for efficient diversification of risks or equalization of trade insurance premiums, offer a blanket insurance by product, company, association, financial institution, or import country. <Amended on Apr. 5, 2010>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 8 (Contract Limit) |
| (1) | The Minister of Trade, Industry and Energy shall annually determine the limit of trade insurance contracts (which shall include export credit guarantee contracts and import credit guarantee contracts for raw materials for export under Article 53 (1) 2, and insurance contracts for guaranteeing the credibility of components and materials under Article 53 (2); hereafter the same shall apply in this Article): Provided, That in the case of trade insurance whose subject matter is a medium-and long-term deferred-payment export trade and whose payment period exceeds two years, its limit shall be determined separately within the limit of trade insurance contracts. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013> |
| (2) | Notwithstanding paragraph (1), from among trade insurance under Article 53 (1) 1, in cases of insurance that covers the risks of exchange rate fluctuations and that is operated in the same way as forward exchange transactions based on export performance, etc., he/she may choose not to set the limit of trade insurance contracts. <Amended on Apr. 5, 2010> |
| (3) | The Minister of Trade, Industry and Energy may, where necessary to facilitate the operation of trade insurance business, annually determine the reserve limit of trade insurance contracts separately, in addition to the limit of the trade insurance contracts under paragraph (1). <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013> |
| (4) | In determining the limit of trade insurance contracts under paragraph (1) and the reserve limit of trade insurance contracts under paragraph (3), the Minister of Trade, Industry and Energy shall, in advance, obtain resolutions of the National Assembly after deliberation by the State Council. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 8-2 Deleted. <Aug. 3, 1994> |
| Article 8-3 (Preferential Treatment of Small and Medium Enterprises) |
In order to support trade or other foreign transactions by small or medium enterprises and middle-standing enterprises, the Corporation may give preferential treatment to any of the following persons with respect to insurance premium rates, date of the payment of insurance money, etc.: <Amended on Apr. 5, 2010; Jan. 27, 2016>
| 2. | Entities carrying out trade on behalf of small and medium entrepreneurs under subparagraph 1, from among those prescribed by Presidential Decree; |
[This Article Wholly Amended on Dec. 27, 2007]
[Title Amended on Jan. 27, 2016]
| Article 9 Deleted. <Aug. 3, 1994> |
| Article 10 Deleted. <Aug. 3, 1994> |
| Article 11 Deleted. <Aug. 3, 1994> |
| Article 12 Deleted. <Aug. 3, 1994> |
| Article 13 Deleted. <Aug. 3, 1994> |
| Article 14 Deleted. <Aug. 3, 1994> |
| Article 15 Deleted. <Aug. 3, 1994> |
| Article 16 Deleted. <Aug. 3, 1994> |
| Article 17 Deleted. <Aug. 3, 1994> |
| Article 18 Deleted. <Aug. 3, 1994> |
| Article 19 Deleted. <Aug. 3, 1994> |
| Article 20 Deleted. <Aug. 3, 1994> |
| Article 21 Deleted. <Aug. 3, 1994> |
| Article 22 Deleted. <Aug. 3, 1994> |
| Article 23 Deleted. <Aug. 3, 1994> |
| Article 24 Deleted. <Aug. 3, 1994> |
| Article 25 Deleted. <Aug. 3, 1994> |
| Article 26 Deleted. <Aug. 3, 1994> |
| Article 26-2 Deleted. <Aug. 3, 1994> |
| Article 26-3 Deleted. <Aug. 3, 1994> |
| Article 26-4 Deleted. <Aug. 3, 1994> |
| Article 26-5 Deleted. <Aug. 3, 1994> |
| Article 26-6 Deleted. <Aug. 3, 1994> |
| Article 27 Deleted. <Aug. 3, 1994> |
| Article 28 Deleted. <Aug. 3, 1994> |
| Article 29 Deleted. <Aug. 3, 1994> |
| Article 29-2 Deleted. <Aug. 3, 1994> |
| Article 29-3 Deleted. <Aug. 3, 1994> |
| Article 29-4 Deleted. <Aug. 3, 1994> |
| Article 29-5 Deleted. <Aug. 3, 1994> |
| Article 29-6 Deleted. <Aug. 3, 1994> |
| Article 29-7 Deleted. <Aug. 3, 1994> |
| Article 29-8 Deleted. <Aug. 3, 1994> |
| Article 29-9 Deleted. <Aug. 3, 1994> |
| Article 29-10 Deleted. <Aug. 3, 1994> |
| Article 29-11 Deleted. <Aug. 3, 1994> |
| Article 29-12 Deleted. <Aug. 3, 1994> |
| Article 29-13 Deleted. <Aug. 3, 1994> |
| Article 29-14 Deleted. <Aug. 3, 1994> |
| Article 29-15 Deleted. <Aug. 3, 1994> |
CHAPTER VII TRADE INSURANCE FUND
| Article 30 (Establishment of Fund) |
The Trade Insurance Fund (hereinafter referred to as the "Fund") shall be established in order to effectively achieve the objectives of trade insurance business. <Amended on Apr. 5, 2010>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 31 (Creation of Fund) |
| (1) | The Fund shall be financed with the following financial resources: <Amended on Jan. 6, 2016> |
| 1. | Contributions from the Government; |
| 2. | Contributions from other funds; |
| 4. | Other financial resources prescribed by Presidential Decree. |
| (2) | The Government shall appropriate the contributions under paragraph (1) 1 for expenditures within budgetary limits for each fiscal year. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 32 (Management of Fund) |
| (1) | The Fund shall be managed by the Corporation. <Amended on Mar. 20, 2018> |
| (2) | Contributions to the Fund shall be treated as capital for accounting purposes. <Newly Inserted on Mar. 20, 2018> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 33 (Operation of Fund) |
The Fund shall be operated by any of the following methods: Provided, That where the Fund is operated by the method set forth in subparagraph 4, the approval from the Minister of Trade, Industry and Energy shall be obtained: <Amended on Feb. 29, 2008; Mar. 23, 2013>
| 1. | Deposits with financial institutions; |
| 2. | Purchase of national bonds, local government bonds, or securities listed on the Stock Exchange; |
| 3. | Purchase of securities issued or whose payment is guaranteed by financial institutions or by other corporations established under special Acts; |
| 4. | Purchase of securities that do not fall under subparagraphs 2 and 3; |
| 5. | Other methods determined by the Minister of Trade, Industry and Energy after consultation with the Minister of Economy and Finance. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 34 (Borrowing of Funds) |
| (1) | The Corporation may, where deemed necessary to pay insurance money, seek borrowings or temporary borrowings to be repaid from the Fund, after obtaining prior approval from the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Mar. 23, 2013> |
| (2) | The temporary borrowings under paragraph (1) shall be repaid within the relevant fiscal year. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 34-2 (Issuance of Bonds) |
| (1) | The Corporation may, where deemed necessary to pay insurance money or subrogation, issue the Trade Insurance Fund bonds (hereafter referred to as "bonds" in this Article) at the expense of the Fund upon obtaining prior approval from the Minister of Trade, Industry and Energy. <Amended on Mar. 23, 2013> |
| (2) | Where the Minister of Trade, Industry and Energy intends to approve the issuance of the bonds, he/she shall, in advance, consult with the Minister of Economy and Finance. <Amended on Mar. 23, 2013> |
| (3) | The Government may guarantee redemption of the principal of the bonds and the interest accrued thereon. |
| (4) | The period of extinctive prescription of the bonds, which shall be counted from the date of redemption, shall be five years for the principal and two years for the interest accrued thereon. |
| (5) | Except as provided in paragraphs (1) through (4), matters necessary for the issuance of the bonds shall be prescribed by Presidential Decree. |
[This Article Newly Inserted on Apr. 5, 2010]
| Article 35 (Funds Revenues and Expenditures) |
| (1) | The Fund revenues shall come from financial resources raised under Article 31 (1), premiums, recovered amounts, interest, and profits accrued as a result of operation of the Fund and other profits, etc. accrued while performing the affairs of the Corporation. |
| (2) | The Fund expenditures shall go towards insurance money, interest, and operational expenses of the Corporation and other expenses incurred for operating the Fund. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 36 (Settlement of Profits and Losses) |
| (1) | All profits accrued as a result of settlement of accounts of the Fund shall be accumulated as reserve. |
| (2) | Any loss accrued as a result of settlement of accounts of the Fund shall be covered by the reserve fund under paragraph (1), and if the reserve fund is insufficient to cover such deficit, the shortages shall be covered by the Government. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 36-2 (Maintenance of Financial Soundness) |
The Corporation shall endeavor to maintain the financial soundness of the Fund.
[This Article Newly Inserted on Dec. 10, 2019]
CHAPTER VIII KOREA TRADE INSURANCE CORPORATION
| Article 37 (Incorporation) |
The Korea Trade Insurance Corporation shall be incorporated for the purpose of operating trade insurance business under this Act. <Amended on Apr. 5, 2010>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 38 (Legal Personality) |
The Corporation shall be a juristic person.
[This Article Wholly Amended on Dec. 27, 2007]
| Article 39 (Articles of Association) |
| (1) | The articles of association of the Corporation shall include the following matters: <Amended on Apr. 5, 2010> |
| 4. | Operation of the operating committee and the board of directors; |
| 5. | Executive officers and employees; |
| 6. | Business affairs and administration thereof; |
| 8. | Method of public announcement; |
| 9. | Amendment of the articles of association; |
| 10. | Establishment, amendment or abolishment of regulations and rules. |
| (2) | When the Corporation intends to amend the articles of association, it shall obtain authorization from the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Mar. 23, 2013> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 40 (Registration) |
| (1) | The Corporation shall be established at the time when it registers its incorporation at the location of its main office. |
| (2) | Particulars to be registered under paragraph (1) shall be as follows and the application for registration shall be accompanied by the Corporation’s articles of association and a copy of the authorization for the incorporation of the Corporation issued by the Minister of Trade, Industry and Energy: <Amended on Feb. 29, 2008; Mar. 23, 2013> |
| 4. | Name and address of executive officers; |
| 5. | Method of public announcement. |
| (3) | The registration of incorporation and other matters necessary for the registration shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 41 (Prohibition of Use of Similar Name) |
No person, other than the Corporation, shall use the name "Korea Trade Insurance Corporation" or any other similar name. <Amended on Apr. 5, 2010>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 42 (Application Mutatis Mutandis of the Civil Act) |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 43 (Operating Committee) |
| (1) | The Corporation shall have an operating committee. |
| (2) | The operating committee shall deliberate on and determine the types and premium rates of trade insurance, and other matters prescribed by Presidential Decree. <Amended on Apr. 5, 2010> |
| (3) | Matters necessary for the organization and operation of the operating committee shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 44 (Executive Officers) |
| (1) | The Corporation shall have 13 or less directors, including one President, and one auditor. |
| (2) | Directors shall be classified into standing and non-standing directors. |
[This Article Wholly Amended on Apr. 5, 2010]
| Article 45 (Term of Office of Executive Officers) |
| (1) | The President shall hold office for a term of three years and the directors’ and the auditor’s term of office shall be two years. |
| (2) | The directors may be reappointed on an annual basis. |
[This Article Wholly Amended on Apr. 5, 2010]
| Article 46 (Duties of Executive Officers) |
| (1) | The President shall represent the Corporation, exercise general supervision over its affairs, and shall be responsible for the management performance of the Corporation during his/her term of office. <Amended on Apr. 5, 2010> |
| (2) | Where the President is unable to perform his/her duties due to any unavoidable cause, one of the standing directors shall act for the President as prescribed by the articles of association, and where there is no standing director or the standing directors are unable to act for the President, the executive officer prescribed by the articles of association shall act for the President. <Amended on Apr. 5, 2010> |
| (3) | The auditor shall audit the affairs and accounts of the Corporation. <Amended on Apr. 5, 2010> |
| (4) | Deleted. <Apr. 5, 2010> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 47 (Grounds for Disqualification of Executive Officers) |
No person falling under any of the following shall be an executive officer of the Corporation: <Amended on Apr. 5, 2010>
| 1. | A person who is not a citizen of the Republic of Korea; |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 48 (Guarantee of Status of Executive Officers) |
No executive officer of the Corporation shall be dismissed against his/her will, during his/her term of office, unless he/she falls under any of the following: <Amended on Apr. 5, 2010>
| 1. | Where he/she violates this Act or any order issued hereunder or the articles of association; |
| 2. | Where he/she inflicts damage on the Corporation by intention or negligence; |
| 3. | Where it has become impracticable or impossible for him/her to perform his/her duties due to a mental or physical disorder; |
| 4. | Where he/she falls under subparagraphs 1 and 2 of Article 47; |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 49 (Board of Directors) |
| (1) | The Corporation shall have the board of directors to deliberate on and determine important matters. |
| (2) | The board of directors shall be comprised of the President and directors, and the President shall be the chairperson of the board of directors. |
| (3) | Meetings of the board of directors shall be convened by the chairperson or at least 1/3 of the incumbent directors, and the chairperson of the board of directors shall preside over the meetings. |
| (4) | A resolution of the board of directors shall require the concurring vote of at least a majority of incumbent directors. |
| (5) | The auditor may attend a meeting of the board of directors and state his/her opinion. |
[This Article Wholly Amended on Apr. 5, 2010]
| Article 50 (Appointment or Dismissal of Employees) |
The employees of the Corporation shall be appointed or dismissed by the President, as prescribed by the articles of association.
[This Article Wholly Amended on Dec. 27, 2007]
| Article 51 (Restriction on Concurrent Holding of Other Offices by Executive Officers and Employees) |
| (1) | No standing directors and employees shall engage in any for-profit affairs, other than their duties. |
| (2) | Standing directors with permission from the appointing authority or recommending authority, and employees with permission from the President may concurrently engage in for-profit affairs. |
| (3) | No current or former executive officers and employees of the Corporation shall divulge confidential information obtained during performance of their duties. <Newly Inserted on Apr. 5, 2013> |
[This Article Wholly Amended on Apr. 5, 2010]
[Title Amended on Apr. 5, 2013]
| Article 52 (Legal Fiction as Public Officials in Application of Penalty Provisions) |
[This Article Wholly Amended on Dec. 27, 2007]
[Title Amended on Apr. 5, 2010]
| (1) | The Corporation shall perform the following affairs in order to achieve the objectives of trade insurance business: <Amended on Apr. 5, 2010> |
| 1. | Trade insurance (including insurance to cover the risks of fluctuations in exchange rates and interest rates); |
| 2. | Export credit guarantee and import credit guarantee for raw materials for export; |
| 3. | Management and operation of the Fund; |
| 4. | Credit inquiry and management of credit information; |
| 5. | Affairs incidental to those under subparagraphs 1 through 4; |
| 6. | Other affairs entrusted by the Government. |
| (2) | The Corporation may perform affairs related to insurance covering the risks of loss of credibility of components and materials (hereafter referred to as "insurance guaranteeing the credibility of components and materials" in this Article) as part of credibility guarantee business. |
| (3) | Where the Corporation is delegated to perform collection affairs by exporters, etc. for their overseas claims incurred in exports (excluding exports regarding which trade insurance contracts have been entered into) or other foreign transactions, it may engage in claims collection business under subparagraph 10 of Article 2 of the Credit Information Use and Protection Act, notwithstanding Articles 4 (1) and 5 (1) of the same Act. <Amended on Apr. 1, 2009; Apr. 5, 2010; Feb. 4, 2020> |
| (4) | The Minister of Trade, Industry and Energy shall determine those to which the insurance covering the risks of interest rate fluctuations, from among trade insurance stipulated in paragraph (1) 1, is applicable, after consultation with the Minister of Economy and Finance. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013> |
| (5) | The Corporation shall ensure that, in the medium-to long-term, a balance can be stricken between the revenues and expenditures of the insurance covering the risk of fluctuations in interest rates, from among trade insurance stipulated in paragraph (1) 1, without financial support. <Amended on Apr. 5, 2010> |
| (6) | The provisions governing trade insurance shall apply mutatis mutandis to matters relating to the operation of the export credit guarantee and the import credit guarantee for raw materials for export under paragraph (1) 2, and insurance guaranteeing the credibility of components and materials under paragraph (2). <Amended on Apr. 5, 2010> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 53-2 (Performance of Affairs on Behalf of Another) |
| (1) | The Corporation may, where necessary for efficient performance of the affairs under Article 53 (1) through (3), allow a foreign trade insurance-related agency to perform part of its affairs on its behalf. <Amended on Apr. 5, 2010> |
| (2) | The Corporation may, where necessary for the performance of the affairs under Article 53 (1), perform part of the affairs related to trade insurance business of a foreign trade insurance-related agency on behalf of the foreign trade insurance-related agency. <Amended on Apr. 5, 2010> |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 53-3 (Operating Manuals) |
The Corporation shall prepare operating manuals stating the method of handling the following affairs, and obtain approval therefor from the Minister of Trade, Industry and Energy. The same shall also apply to any modification of the operating manuals: <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013>
| 1. | Matters concerning execution of insurance contracts by type of trade insurance; |
| 2. | Matters concerning payment of insurance money and follow-up management; |
| 3. | Other important matters concerning the performance of affairs of the Corporation. |
[This Article Wholly Amended on Dec. 27, 2007]
| Article 53-4 (Negotiations for Recovery of Overseas Claims) |
| (1) | Where any claims of exporters, importers, etc. that have been incurred as a result of trade or other foreign transactions, regarding which trade insurance contracts have been entered into, remain unrecovered due to sovereign credit risks, such as foreign exchange shortage in the debtor nation, the Corporation may negotiate with the foreign government, etc. to recover such claims. <Amended on Apr. 5, 2010> |
| (2) | In conducting negotiations under paragraph (1), the Corporation may, if there is a request from a creditor who holds claims regarding which no trade insurance contract has been entered into, include such claims in the negotiations. <Amended on Apr. 5, 2010> |
| (3) | For the negotiations with foreign governments, etc., the Corporation may, if necessary, request relevant administrative agencies, overseas diplomatic missions or other relevant agencies under Article 58 (2) to provide cooperation. <Amended on Apr. 5, 2013> |
[This Article Wholly Amended on Dec. 27, 2007]
The fiscal year of the Corporation shall coincide with that of the Government.
[This Article Wholly Amended on Dec. 27, 2007]
| Article 55 (Budget and Settlement of Accounts) |
The budget and the settlement of accounts of the Corporation shall be subject to approval of the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Mar. 23, 2013>
[This Article Wholly Amended on Dec. 27, 2007]
| Article 56 (Reporting and Inspection) |
| (1) | Where the Corporation requests the policyholder or the insured of trade insurance to submit reports or data necessary for matters related to export or import contracts or other trade insurance relations, or intends to inspect relevant books, documents, or export or import cargo, the policyholder or insured shall comply with such request or inspection. <Amended on Apr. 5, 2010> |
| (2) | The person who performs the inspection under paragraph (1) shall carry a document indicating his/her authority and present it to interested persons. |
[This Article Wholly Amended on Dec. 27, 2007]
| (1) | Any person dissatisfied with a disposition issued by the Corporation under this Act may file an objection with the Corporation within one month from the date on which he/she becomes aware of the disposition or within three months from the date on which the disposition is issued. |
| (2) | Where an objection is filed under paragraph (1), the Corporation shall, within one month, deliberate on the objection and notify the applicant of the results thereof. |
[This Article Wholly Amended on Dec. 27, 2007]
CHAPTER IX SUPPLEMENTARY PROVISIONS
| Article 58 (Request for Provision of Data or for Investigation) |
| (2) | With regard to matters regarding restrictions on import and currency exchange imposed by foreign countries or matters necessary for the performance of credit or trade insurance business by overseas trade companies, the Corporation may request foreign exchange banks, overseas branches of the Korea Trade-Investment Promotion Agency, or other relevant agencies to investigate such matters. <Amended on Apr. 5, 2010; Apr. 5, 2013> |
| (3) | The Corporation may, if deemed especially necessary, request the Minister of Foreign Affairs or overseas diplomatic missions to conduct an investigation under paragraph (2). <Amended on Apr. 5 2013> |
| (4) | A person who receives a request for provision of data or investigation under paragraphs (1) through (3) shall comply with such request unless there is a compelling reason not to do so. <Amended on Apr. 5, 2013> |
[This Article Wholly Amended on Dec. 27, 2007]
[Title Amended on Apr. 5, 2013]
| Article 59 (Guidance and Supervision) |
The Minister of Trade, Industry and Energy shall exercise guidance and supervision over the following matters and the affairs related thereto among the affairs of the Corporation:
| 1. | Affairs performed by the Corporation under Article 53; |
| 2. | Performance of affairs on behalf of another under Article 53-2; |
| 3. | Negotiations for recovery of overseas claims under Article 53-4. |
[This Article Wholly Amended on Apr. 5, 2013]
| Article 60 (Reporting and Inspections) |
| (1) | The Minister of Trade, Industry and Energy may, where deemed necessary, require the Corporation to submit reports with regard to its affairs, accounting, and property, or may direct public officials under his/her jurisdiction to inspect the current status of the affairs and property, account books, documents, facilities, or other objects of the Corporation. <Amended on Feb. 29, 2008; Mar. 23, 2013> |
| (2) | The Minister of Trade, Industry and Energy may request that the Governor of the Financial Supervisory Service conduct an inspection under paragraph (1) and report the results thereof. <Newly Inserted on Jan. 6, 2016> |
| (3) | The Governor of the Financial Supervisory Service in receipt of the request prescribed in paragraph (2) shall comply therewith, unless there is good cause. <Newly Inserted on Jan. 6, 2016> |
| (4) | Where the Minister of Trade, Industry and Energy discovers any illegality or irregularity as a result of the inspection under paragraph (1), he/she may order the Corporation to take measures of correction, caution, or other necessary measures. <Amended on Feb. 29, 2008; Mar. 23, 2013; Jan. 6, 2016> |
[This Article Wholly Amended on Dec. 27, 2007]
CHAPTER X PENALTY PROVISIONS
| Article 61 (Penalty Provisions) |
Any person who divulges confidential information in violation of Article 51 (3) shall be punished by imprisonment with labor for not more than two years or by a fine not exceeding 20 million won. <Amended on Mar. 21, 2017> [This Article Newly Inserted on Apr. 5, 2013]
[Previous Article 61 moved to Article 62 <Apr. 5, 2013>]
| Article 62 (Administrative Fines) |
| (1) | Any executive officer or employee of the Corporation who falls under any of the following shall be subject to an administrative fine not exceeding one million won: <Amended on Jan. 6, 2016> |
| 1. | Where he/she fails to submit a report or submits a false report under Article 60 (1); |
| 2. | Where he/she refuses, interferes with, or evades an inspection under Article 60 (1); |
| 3. | Where he/she violates any order issued under Article 60 (4). |
| (2) | A person who violates Article 41 shall be subject to an administrative fine not exceeding 500,000 won. |
| (3) | Administrative fines under paragraphs (1) and (2) shall be imposed and collected by the Minister of Trade, Industry and Energy. <Amended on Feb. 29, 2008; Apr. 5, 2010; Mar. 23, 2013> |
| (4) | Deleted. <Apr. 5, 2010> |
| (5) | Deleted. <Apr. 5, 2010> |
| (4) | Deleted. <Apr. 5, 2010> |
[This Article Wholly Amended on Dec. 27, 2007]
[Moved from Article 61 <Apr. 5, 2013>]
ADDENDUM <Act No. 2063, Dec. 31, 1968>
This Act shall enter into force on January 1, 1969.
ADDENDUM <Act No. 2167, Jan. 1, 1970>
This Act shall enter into force on the date of its promulgation.
ADDENDUM <Act No. 2422, Dec. 30, 1972>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 2952, Dec. 31, 1976>
| (1) | (Enforcement Date) This Act shall enter into force on January 1, 1977. |
| (2) | (Transitional Measures) Export insurance business and accounting business of export insurance funds, which have been executed by the Korea Reinsurance Corporation as proxy, in accordance with the previous provisions of Article 31 (1) and 32 (1), as at the time this Act enters into force, shall be transferred to the Export-Import Bank of Korea on the date this Act enters into force. |
ADDENDA <Act No. 3107, Dec. 5, 1978>
| (1) | (Enforcement Date) This Act shall enter into force on January 1, 1979. |
| (2) | (Transitional Measures) The export insurance business which have been executed by the Export-Import Bank of Korea as proxy, in accordance with the previous provisions as at the time this Act enters into force, shall be deemed to have been executed as proxy under the provisions of this Act. |
ADDENDA <Act No. 3399, Mar. 27, 1981>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That the provisions of Article 8 (2) shall enter into force on January 1, 1982, and the provisions concerning the Corporation shall enter into force on the date prescribed by Presidential Decree. Article 2 (Transitional Measures concerning Vicarious Execution of Export Insurance Business)
| (1) | The vicarious execution of insurance business and fund accounts, in accordance with the previous provisions of Articles 31 and 32 as at the time this Act enters into force, shall be applicable until the Corporation under this Act is established. |
| (2) | The Corporation shall generally succeed to the rights and obligations arising from export insurance business. |
Article 3 (Transitional Measures concerning Fund)
The Fund raised in accordance with the previous provisions as at the time this Act enters into force shall be deemed to have been contributed by the Government under this Act.
Article 4 (Preparation for Establishment of Corporation)
| (1) | The Minister of Trade and Industry shall appoint no more than five establishing members to organize the incorporation committee, and have them work on the matters related to the incorporation of the Corporation. |
| (2) | After the incorporation committee formulates the articles of association of the Corporation and obtains authorization from the Minister of Trade and Industry, the incorporation committee shall affect the registration of incorporation of the Corporation. |
| (3) | The incorporation committee shall promptly transfer its business to the President of the Corporation, after effecting the registration for incorporation of the Corporation. The members of the incorporation committee shall be deemed to be discharged after completing the transfer of the business. |
ADDENDA <Act No. 4541, Mar. 6, 1993>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.
ADDENDA <Act No. 4573, Aug. 5, 1993>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 1994.
Articles 2 through 8 Omitted.
ADDENDA <Act No. 4776, Aug. 3, 1994>
| (1) | (Enforcement Date) This Act shall enter into force three months after the date of its promulgation: Provided, That the approval of operating manuals under the amended provisions of Article 53-2, and other preparatory acts necessary for enforcing this Act, may be done before this Act enters into force. |
| (3) | (Transitional Measures concerning Limit of Contract) The total policy ceiling by category of export insurance in 1994, determined under the previous Article 8 as at the time this Act enters into force, shall be deemed the ceiling amount of the export insurance contract as determined under the amended provisions of Article 8. |
| (4) | (Transitional Measures concerning Existing Contract Portion) Any contract concluded before this Act enters into force shall be governed by the previous provisions. |
ADDENDUM <Act No. 5454, Dec. 13, 1997>
This Act shall enter into force on January 1, 1998. (Proviso Omitted.)
ADDENDA <Act No. 5982, May 24, 1999>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 6 Omitted.
ADDENDA <Act No. 6063, Dec. 28, 1999>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation. |
| (2) | (Transitional Measures concerning Term of Office of Auditor) The term of office for any auditor who holds office as at the time this Act is in force, notwithstanding the amended provisions of Article 45, shall be governed by the previous provisions. |
| (3) | (Transitional Measures concerning Review Application) Any application for review of the results of any deliberation made by the Corporation in connection with any export insurance contract concluded before this Act enters into force, notwithstanding the amended provisions of Article 57 (3) and (4), shall be governed by the previous provisions. |
ADDENDUM <Act No. 6979, Sep. 29, 2003>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 7280, Dec. 31, 2004>
| (1) | (Enforcement Date) This Act shall enter into force on March 1, 2005. (Proviso Omitted.) |
ADDENDUM <Act No. 8191, Jan. 3, 2007>
This Act shall enter into force on the date of its promulgation.
ADDENDUM <Act No. 8799, Dec. 27, 2007>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That, ... <omitted> ... among the Acts amended pursuant to Article 6 of these Addenda, amendments to the Acts promulgated before this Act enters into force, but the enforcement dates of which have yet to arrive, shall enter into force on the dates on which the respective Acts take effect. Articles 2 through 7 Omitted.
ADDENDA <Act No. 9617, Apr. 1, 2009>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 13 Omitted.
ADDENDA <Act No. 10228, Apr. 5, 2010>
Article 1 (Enforcement Date)
This Act shall enter into force three months after the date of its promulgation.
Article 2 (Transitional Measures following Change of Name)
| (1) | The former Korea Export Insurance Corporation and Export Insurance Fund as at the time this Act enters into force shall be deemed the Korea Trade Insurance Corporation and Trade Insurance Fund, respectively. |
| (2) | The Korea Trade Insurance Corporation under this Act shall succeed to all assets, rights and duties belonging to the former Korea Export Insurance Corporation as at the time this Act enters into force. In such cases, the value of the assets to be succeeded to shall be the book value as of the date immediately preceding the enforcement date of this Act. |
| (3) | The Korea Export Insurance Corporation shall be deemed the Korea Trade Insurance Corporation in connection with any conducts performed by the former Korea Export Insurance Corporation and other legal relation as at the time this Act enters into force. |
| (4) | The executives and employees of the former Korea Export Insurance Corporation as at the time this Act enters into force shall be deemed the executives and employees of the Korea Trade Insurance Corporation under this Act. In such cases, the term of office of an executive shall be the remaining term of the term of office under the Act on the Management of Public Institutions. |
| (5) | The name "Korea Export Insurance Corporation" on the registry and other official books as at the time this Act enters into force shall be deemed the name "Korea Trade Insurance Corporation". |
Article 3 (Modification of Articles of Association)
The Korea Trade Insurance Corporation shall modify its articles of association pursuant to the amended provisions of this Act and obtain authorization thereof from the Minister of Knowledge Economy within three months after this Act enters into force, and file for registration of modification due to change of name, etc.
Article 4 Omitted.
Article 5 (Relationship to Other Statutes or Regulations)
Where any other statute or regulation cites the previous Export Insurance Act, Export Insurance Fund or the Korea Export Insurance Corporation as at the time this Act enters into force, the Trade Insurance Act, Trade Insurance Fund or the Korea Trade Insurance Corporation shall be deemed cited, in lieu of the previous provisions.
ADDENDA <Act No. 11690, Mar. 23, 2013>
Article 1 (Enforcement Date)
| (1) | This Act shall enter into on the date of its promulgation. |
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 11745, Apr. 5, 2013>
This Act shall enter into force six months after the date of its promulgation.
ADDENDUM <Act No. 13734, Jan. 6, 2016>
This Act shall enter into force on the date of its promulgation: Provided, That the amended provisions of Articles 60 and 62 shall enter into force three months after the date of its promulgation.
ADDENDUM <Act No. 13841, Jan. 27, 2016>
This Act shall enter into force on the date of its promulgation.
ADDENDUM <Act No. 14667, Mar. 21, 2017>
This Act shall enter into force six months after the date of its promulgation.
ADDENDUM <Act No. 15507, Mar. 20, 2018>
This Act shall enter into force six months after the date of its promulgation.
ADDENDUM <Act No. 16797, Dec. 10, 2019>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 16957, Feb. 4, 2020>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 13 Omitted.