Toss Insurance, a corporate insurance agency (GA), said on Tuesday it signed a memorandum of understanding with KB Insurance to strengthen financial consumer protection and internal controls.

The agreement was pursued to boost integrity and transparency in the insurance solicitation process and to reinforce the financial consumer protection system through cooperation between the insurer and the GA.

Under the agreement, the two sides decided to cooperate on internal controls and self-inspections to reduce risks related to outsourced sales. They also agreed to work together on complaint handling and prevention activities to protect financial consumers. They will cooperate on upgrading personal data protection and management systems. They also agreed to cooperate on other tasks mutually agreed to protect financial consumers.

Toss Insurance plans to expand cooperation with insurers and to continue advancing its internal control system centered on financial consumer protection.

Cho Byung-ik (조병익), chief executive of Toss Insurance, said internal controls and financial consumer protection in the insurance solicitation process are not a choice but a necessity. He said the company has proven a trust-based sales model as a GA with an internal control system including a high policy retention rate, and he stressed it will further strengthen related capabilities through the agreement.

Oh Byung-joo (오병주), head of KB Insurance's GA sales division and a vice president, said strengthening cooperation with platform GAs beyond traditional GA channels is a strategic choice to get closer to customers by reflecting market changes. He said the company will expand partnerships to reduce blind spots in financial consumer protection and foster a healthy insurance ecosystem.