Road Assistance in South Korea is a report about the market for this type of assistance – sometimes referred to as breakdown recovery insurance – acquired by individual consumers in South Korea. The research is based on a primary survey of over 40 actual and potential distributors of road assistance in South Korea including automotive clubs, motor insurance brands, car manufacturer brands and independent warranty providers. For each of these organisations, it establishes whether they offer road assistance in any format or not and, if they do, the partner assistance firms with which they work if they do not report managing the service themselves on an internal basis.
Having presented the provision rates for road assistance across these main categories of distributor, the study then compares the operating models that they use, shows which providers of road assistance hold the most partnerships in each category and comments upon the importance of other distribution options including online aggregators and packaging with banking products. Moreover, it quantifies the value of the market for road assistance acquired by individual consumers in South Korea in 2014, segmented by distribution channel, presents the likely market share by revenues of the leading competitors, and provides forecasts for the value of the market up to 2018.
Table Of Contents
Road Assistance in South Korea 0.0 EXECUTIVE SUMMARY 1 1.0 INTRODUCTION 3 What is this report about? 3 Rationale 3 This is the first comprehensive study about the market for road assistance in South Korea. 3 .in part because the distribution of this product involves several very different channels 3 Methodology 3 Primary research 3 Research for this report includes over 40 actual and potential distributors of road assistance 3 Market data 4 Competitor data 4 External sources 5 Definitions 5 Terms and abbreviations 5 Operating models 5 Currencies, exchange rates and inflation 6 PartnerBASE 6 Finaccord 6 2.0 MARKET ANALYSIS 8 Introduction 8 Distribution through key partner organisations 8 Summary of organisations researched 8 Provision rates 9 All motor insurers in South Korea offer road assistance to their customers. 9 â¦and the cost of this optional upgrade is typically linked to the price of the underlying policy 9 Operating models 10 Many road assistance distributors organise their schemes on a purely internal basis. 10 .and only a quarter of all arrangements involve one or more external assistance firms 10 Partnerships with car manufacturer brands 12 Most of the large car manufacturer brands operate their own road assistance schemes. 12 .although GM's high-selling Chevrolet brand has two indirect partnerships for this product 12 Partnerships with motor insurance brands 13 Master and SK Speed Mate each hold a number of partnerships in this area. 13 .but several large motor insurance brands organise road assistance themselves 14 Partnerships with independent warranty providers 15 Partnerships with automotive clubs 15 South Korea is unusual in not having a national automotive club that offers road assistance 15 Other distribution channels 16 Direct distribution and other online brands 16 South Korean drivers can subscribe to SK Speed Mate's 'Happy Auto' product directly 16 Payment cards and bank accounts 16 Banking products are not used as a conduit for providing road assistanceâ¦ 16 Online aggregators and brokers 16 â¦ and nor are aggregators (apart from indirect provision via motor insurance) 16 Other types of distributor 16 Market size and forecast 17 South Korea's market is expected to grow well due to a sizable increase in its passenger car parc 17 The vast majority of road assistance revenues are generated via motor insurance policies 17 Leading competitors 20 The 'big four' non-life insurers jointly account for between 62% and 70% of road assistance revenues. 20 .leaving SK Speed Mate and Master as the leading providers not owned by insurers 21
LIST OF GRAPHICS / TABLES
0.0 EXECUTIVE SUMMARY 1 Key market data for road assistance in South Korea 2 1.0 INTRODUCTION 3 2.0 MARKET ANALYSIS 8 Summary of potential distributor organisations researched in South Korea, segmented by type, 2014 9 Provision rates for road assistance in South Korea, segmented by type of organisation, 2014 10 Operating models used for road assistance in South Korea, segmented by type of organisation, 2014 11 Operating models used for road assistance in South Korea, segmented by type of organisation, 2014 (table) 12 Competitor share of partnerships for road assistance in South Korea, 2014: car manufacturer brands 13 Competitor share of partnerships for road assistance in South Korea, 2014: motor insurance brands 15 Estimated gross written premiums and other revenues from road assistance in South Korea, 2014, plus forecast for 2018 18 Estimated gross written premiums and other revenues from road assistance in South Korea, segmented by distribution channel, 2014 19 Estimated number of policies and gross written premiums and other revenues from road assistance in South Korea, segmented by distribution channel, 2014, plus forecast for 2018 (table) 20 Individual competitors' estimated market shares of gross written premiums and other revenues for road assistance in South Korea, 2014 21