South Korea's Financial Services Commission (FSC) will establish an AI-powered insurance fraud prevention infrastructure as part of its broader financial sector reform agenda for the second half of 2026, aimed at strengthening the detection and prevention of insurance fraud. The regulator said it will establish the infrastructure alongside measures to strengthen anti-money laundering (AML) capabilities, as part of reforms to address activities that disrupt financial markets and reinforce financial stability. The broader programme also includes reforms to corporate governance, supervisory processes and digital regulation to accelerate the adoption of artificial intelligence across financial services.