Under the General Insurance Contract for Motor Vehicles, the legal nature of the "special agreement for injury by a non-insurance motor vehicle" (=person insurance) and the effect of the non-licensed driving exemption clause under the insurance clauses (negative)

According to the provisions of Articles 732-2, 739, and 663 of the Commercial Act, with respect to personal insurance which covers death or bodily injury as an insured accident, if the insured event is not caused intentionally, it shall be liable to pay the insurance proceeds. Therefore, in the terms of the contract, the damage incurred when the driver was injured while driving without a license, shall not be compensated."

Articles 659(1), 663, 732-2 and 739 of the Commercial Act

Supreme Court Decision 96Da4909 delivered on April 26, 1996 (Gong1996Sang, 1719), Supreme Court Decision 97Da27039 delivered on March 27, 1998 (Gong1998Sang, 1173), Supreme Court Decision 97Da48753 delivered on March 27, 1998 (Gong198Sang, 1185), Supreme Court Decision 98Da430 delivered on April 28, 1998 (Gong198Sang, 1493), Supreme Court Decision 98Da3497 delivered on October 20, 198 (Gong198Ha, 2687), Supreme Court Decision 90Da3909 delivered on December 29, 1998 (Gong1998Sang, 2687).

Kim Jong- Line and one other (Attorneys Song Sung-sung et al., Counsel for the plaintiff-appellant)

Dongbu Fire Marine Insurance Co., Ltd. (Attorney Lee Jin-jin, Counsel for defendant-appellee)

Busan District Court Decision 97Na13945 delivered on May 1, 1998

The appeal is dismissed. The costs of appeal are assessed against the defendant.

The grounds of appeal are examined.

According to the provisions of Articles 732-2, 739, and 663 of the Commercial Act, with respect to life insurance which covers death or bodily injury as an insured accident, even if the insured event was not caused intentionally, if it was caused by gross negligence, the insured is obligated to pay the insurance proceeds. In relation to driving without a license, an individual vehicle is not likely to deny the possibility of occurrence of the insured event compared to a case of a person who is not the driver or driver of the license, or the possibility of occurrence of such accident. In addition, in the case of driving without a license, an intentional criminal act is not related to driving without license, unless there are special circumstances, and its degree is not directly related to death or bodily injury, and thus, it cannot be said that the degree goes against the good faith and ethics of the parties in the insurance contract, and thus, it shall not be deemed that the insured accident under the terms and conditions of accident insurance is assessed to be null and void by gross negligence (see, e.g., Supreme Court Decision 209Da979799, Jun. 9, 2097).

The court below found that the insured non-party 1 entered into a special contract with the defendant to compensate for 100 million won per person within the limit of the amount of insurance coverage Class II for personal injury (hereinafter referred to as the "special contract for injury by non-life insurance") with respect to the insured vehicle of this case, when the deceased non-party 1 entered into a comprehensive personal automobile insurance contract with the defendant with respect to the insured vehicle of this case and his spouse, children, etc. were killed or injured due to an accident caused by the accident caused by the insured vehicle of this case. The insurance policy provides that the insured non-party 1 shall not compensate for the loss caused by non-exclusive driving of the insured vehicle of this case. However, the insured non-party 1 is not liable for the non-party 2's non-party 3's non-party 1's non-party 2's non-party 2's non-party 2's non-party 3's non-party 6's non-party 2's non-party 2's non-party 1's non-party 3's non-party 1's non-party 3's non-party 2's non-party 3's non-party 3's accident accident.

Therefore, the appeal is dismissed and the costs of appeal are assessed against the losing defendant. It is so decided as per Disposition by the assent of all participating Justices.

Justices Cho Cho-Un (Presiding Justice)