The Korea Federation of Small and Medium Enterprises announced on the 22nd that the scale of support for the Yellow Umbrella Hope Incentive Fund is 26.4 billion won in 2025, a 3.1% increase compared to the previous year.
The Yellow Umbrella Hope Incentive Fund program is a project that adds up to 360,000 won annually for small business owners who join the Yellow Umbrella, with local governments further contributing to the fund.
This year, 17 metropolitan municipalities and 13 basic local governments plan to provide support. If a business site meets the sales criteria set by the local government where the establishment is located when signing up for the Yellow Umbrella Insurance, support of 10,000 to 30,000 won can be received monthly for one year.
The support target is small business owners with annual sales of less than 300 million won. They can apply for the Yellow Umbrella Insurance before the local government budget is depleted.
Lee Chang-ho, head of the Insurance Business Division at the Korea Federation of Small and Medium Enterprises, explained, "The Hope Incentive Fund prepared by local governments can support approximately 129,000 individuals, or about 51.6% of the annual subscribers of the Yellow Umbrella."
The Seoul Metropolitan Government will provide a total of 6 billion won this year. Basic local governments including Dobong-gu, Yeongdeungpo-gu, Dongjak-gu, Seodaemun-gu, and Geumcheon-gu will also prepare separate budgets, allowing for double support for small business owners in these areas.
The Busan Metropolitan Government plans to significantly increase the support scale by 50% compared to the previous year, providing 3 billion won this year. Incheon City will also support a total of 2 billion won, while Jung-gu, Bupyeong, and Gyeongyang-gu plan to provide an additional total of 500 million won.