World · East Asia & Pacific · 15 hrs ago
21 people referred to prosecutors over alleged staged crash insurance fraud
Police in Seoul say 21 people were referred to prosecutors over alleged insurance fraud.
From January 2024 to November 2025, the group allegedly used rental cars to cause 43 crashes with drivers breaking traffic rules.
Investigators say the members then claimed injuries and were admitted to hospital, even though the crashes did not require medical treatment.
They allegedly collected about 320 million won from nine insurers in settlement payments.
Police say the group took advantage of rental cars having no deductible for the driver in a crash.
Police say they will work with insurers to protect targeted drivers from premium increases and cooperate on suspected cases from the start of investigations.
Police in Seoul referred 21 people to prosecutors over alleged insurance fraud involving staged traffic crashes.
The group allegedly caused 43 collisions from January 2024 to November 2025 and obtained about 320 million won in settlements from insurers.
Police said the suspects targeted vehicles that had violated traffic rules and used rental cars to cause collisions.
The suspects allegedly claimed injuries and were admitted to hospital after crashes that investigators found were too minor to require treatment.
The case was referred in two batches, on August 28 and October 29.
- Who
- 21 people, described by police as mostly in their early 20s and connected as hometown acquaintances.
- What
- They allegedly staged 43 collisions and obtained about 320 million won from insurers.
- When
- The alleged incidents took place from January 2024 to November 2025. The referrals were made on August 28 and October 29.
- Where
- Seoul, South Korea; the article identifies the Seoul Gwangjin Police Station.
- Why
- Police said the group sought insurance payouts by targeting traffic-rule violators and exploiting the rental cars’ lack of a driver’s deductible.
This story does not have two clearly opposing sides.
The group allegedly caused 43 collisions involving vehicles that had violated traffic rules.
Police made the first referral of suspects to prosecutors.
Police made the second referral of suspects to prosecutors.
Gwangjin Police Station announced that all 21 suspects had been apprehended and referred without detention.
- People referred
- 21
- Alleged collisions
- 43
- Alleged fraud period
- January 2024-November 2025
- Insurance payouts
- About 320 million won
- Insurers involved
- 9
1 source
What people are saying
We will actively crack down on auto insurance fraud and provide relief to affected drivers by suspending premium increases through insurers.
When a deliberate traffic accident is suspected, police and insurers will actively work together from the initial reporting stage to prevent harm.