Korea began free trade agreement negotiations with the United States on June 2006. Providing access to Korean insurance market to the U.S. is one of the areas to be discussed during the course of negotiations. Korea has been making substantial progress in providing market access to foreign insurers prior to its WTO commitment. Since foreign insurers are already enjoying broad access to Korean insurance market, the effects of free trade agreement between Korea and the United States will be insignificant. Cross border trade in life insurance service, for example, took only 0.006% share of the Korean market in 2005 despite the fact that the life insurance market is completely open to foreign insurers. Likewise, the market share of cross border trade in Non-life insurance service market in Korea(49.4% of the market open to foreign insurers) was a mere 0.57% in 2005. In the case of insurance auxiliary service, the nature of the service lends it difficult for foreigners to take advantage of the improved market access. Although new financial service, regulatory transparency and self-regulatory organization are further issues to be addressed during the course of negotiations, such areas are expected to be settled on similar terms to U.S.-Australia and U.S.- Singapore FTA. In that case, the expansion of U.S. insurers`` market access will have only limited effects on the Korean market.