A traffic accident settlement has two tracks,
so handle the criminal settlement separately from civil damages

1. Cases where a settlement is essential

An injury accident covered by comprehensive insurance and not involving the 12 serious faults, fleeing, or refusal of a breath test cannot be charged in the first place, so there is no need to settle. The cases below are different. Because you are punished even with insurance, the settlement shapes the outcome.

• Accidents involving the 12 serious faults, such as running a signal, crossing the center line, crosswalk violations, drunk driving (officially “driving while intoxicated”), or driving without a license
• Accidents in which a victim suffered serious injury or someone died
• Child protection zone accidents, fleeing after causing injury, and dangerous driving causing injury

2. How the settlement amount is set

There is no standard formula. Both sides negotiate based on the degree of injury, the treatment period, the likelihood of lasting disability, the victim's own fault, the scope of insurance coverage, and the risk of punishment the at-fault driver faces. If the other side demands an excessive amount, the decision is made by comparing it with the alternative of a deposit.

3. What the settlement agreement must include

• Statement of not wanting punishment · A clear sentence such as "The victim does not want the at-fault party to be criminally punished"
• Relationship with civil compensation · State whether the criminal settlement money received will later be deducted from civil damages. If it says it will not be deducted, the victim receives the insurer's compensation in full separately.
• What is needed for an insurance claim · If you plan to recover the settlement money through a rider, first find out the documents and forms the insurer requires.
• Signatures of the parties · The signature of the victim (or the legal representative for a minor), a copy of their ID, and the date of signing

4. Traffic accident legal support funds under driver's insurance

If driver's insurance purchased separately from comprehensive auto insurance has a rider for traffic accident legal support funds (criminal settlement money), support for the settlement money is available up to the policy limit. You need to check in the policy which accidents are covered (serious injury, the 12 serious faults, death, etc.), what the limit is, and whether payment is made directly to the victim. Accidents involving drunk driving, driving without a license, or fleeing are usually excluded from coverage.

5. When settlement is difficult: a criminal deposit

When the victim refuses to settle or cannot be reached, there is the option of a criminal deposit with the court. Following an amendment to the Deposit Act, a deposit can now be made using the case number and other details even without knowing the victim's name or address. However, a unilateral deposit made just before sentencing despite the victim's clear refusal may be reflected in sentencing only to a limited extent, so the timing and amount of the deposit and the procedure for hearing the victim's opinion must be decided carefully.

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Written on the basis of Korean statutes in force (National Law Information Center, Ministry of Government Legislation) and court precedents as of October 20, 2026. Results may differ with amendments to the law or the facts of each case. This page is general information, not legal advice.

Written and reviewed by Attorney Dongwoo Shin — Ph.D. in Law; certified criminal law specialist and certified divorce law specialist registered with the Korean Bar Association. He handles each case personally from consultation to judgment. About the attorney →
Last updated October 20, 2026