Korean insurance companies are considering selling bike insurance policies to cover riders against accidents, due to the increasing number of riders on Korea’s streets.

Although the country has the world’s seventh-largest insurance market, bike riders are not yet covered. Therefore, insurance firms are beginning to tap into this huge market. Bike insurance was introduced 10 years ago, but such cover was short lived.

Therefore, in an attempt to change this lack of cover Lee Sang-yong, president of the General Insurance Association of Korea said: “To back the ‘green growth’ policies, we are supporting the development of bicycle insurance.”

As part of the environmentally friendly campaign ‘Green New Deal’, Lee-Myung-bak administration has begun working on plans to extend or build bicycle-only lanes across the country. The new scheme comes at a time when bike accidents are on the rise.

Since early 2000,cycling accidents jumped 20.7% every year on average, with the number of casualties up from 214 in 2004 to 439 last year, according to the National Police Agency.

According to insurers, the premiums for insurance against personal injury while on a bicycle will likely be 50,000 won to 100,000 won per year.