Car Insurance Shifts Focus to 'High Coverage & Discount' Riders Amidst Rising Repair Costs

As vehicle prices climb and the burden of repair costs grows, car insurance policyholders are increasingly opting for riders that offer higher compensation limits or various discount benefits in the event of an accident. This trend is interpreted as a move to rationally manage insurance premium expenses while preparing for unexpected significant costs.

According to the '2025 Car Insurance Enrollment Analysis' published by the Insurance Development Institute, 85% of individual car insurance policyholders in 2025 set their property damage liability limit at 300 million won or more, with 51% choosing coverage of 1 billion won or higher. The increased demand to hedge against rising repair costs, driven by higher vehicle prices and increased parts and labor fees, is reflected in the growing adoption of high-coverage plans.

The mileage-based discount rider saw an enrollment rate of 88.4% in 2025, with 66% of policyholders receiving an average refund of approximately 133,000 won, indicating a widespread utilization of discount programs. For electric vehicles, which face a higher risk of total loss, the comprehensive coverage (self-damage waiver) enrollment rate reached 96.1% in 2025, and enrollment in advanced safety feature riders was also on the rise.