The Automobile Accident Compensation Guarantee Project is a social security system in which society as a whole takes an interest in victims of hit-and-run and uninsured traffic accidents, paying compensation to the bereaved family when the victim dies and to the victim when the victim is injured. The project originates in the principle of crime-victim compensation, under which, where the wrongdoer in a car accident cannot be identified or lacks the ability to pay damages, the state supplementarily provides compensation and relief measures from the standpoints of the state's strict liability, social responsibility and government fault. In interpreting the representative express provisions on the project, combining the project's purpose of enactment with its legislative intent is most important. This is all the more so for Article 30(1)(2) of the Guarantee of Automobile Accident Compensation Act, which relates to the project's scope of application.

In interpreting the law on the project's scope of application, the Supreme Court limits it to the grounds stated in the statute and regards its main content only as compensating, within the limit of compulsory liability insurance payments, the damages of victims killed or injured in accidents where the vehicle owner cannot be identified, as in hit-and-runs, or caused by driving an uninsured vehicle. It says the project, while aiming to protect victims, is meant to supplement to some extent the legally mandated automobile liability insurance system, and does not have speedy compensation of victims as its main purpose. It holds that a case where the insurer that concluded the auto insurance contract refuses to pay on grounds of exemption, so that the insurer's compensation liability is not objectively determined, does not fit the project's scope of application under Article 30(1)(2) of the Act.

Where the government has compensated for damage under Article 30(1) of the Act, it may, within the limit of the compensation amount, exercise by subrogation the victim's claim for damages against a person liable for damages under Article 3 (Article 39(1) of the Act). This right of subrogation is a statutory subrogation right by which the project operator, after compensating the victim's loss, can recover that amount from the person liable to the victim. Accordingly, the victim's claim for damages against the wrongdoer passes to the project operator while retaining its identity. However, where the victim's loss exceeds the compensation paid by the project, and the project operator's subrogation right against the wrongdoer acquired under Article 39 of the Act competes with the victim's claim against the wrongdoer for the remaining loss, the victim's claim for the remaining loss takes priority, considering the Act's purpose of protecting victims and the intent of the project.

The material states that the ministry in charge of the project is the Ministry of Land, Transport and Maritime Affairs, but since the 2013 government reorganization the competent ministry has been the Ministry of Land, Infrastructure and Transport, and actual receipt and review of compensation claims are carried out through entrusted non-life insurance companies and others. Compensation limits also follow the liability insurance payment standards, so when citing them in an assignment it is good to check the amounts in the latest Enforcement Decree of the Guarantee of Automobile Accident Compensation Act. Organizing the case law and doctrinal debates together with such current information makes it good for assignments linking insurance law and social security law. Also look up and read the original texts of the related cases.