This photo, provided by Yonhap News TV, shows the Korea Fair Trade Commission in the central administrative city of Sejong. (Yonhap News TV)

South Korea's antitrust regulator said Sunday it has decided to impose a combined fine of 1.76 billion won ($1.42 million) on eight insurance companies for colluding to fix bidding prices.

KB Insurance Co., six other non-life insurers and a local insurance consultancy colluded for the rental housing-related insurance bidding put forward by state housing developer Korea Land & Housing Corp. (LH) in 2018, according to the Fair Trade Commission (FTC).

They colluded to intentionally offer low bidding prices or drop out of the bidding in order to let No. 4 industry player KB Insurance win contracts from LH twice.

Through the collusion, KB Insurance aimed to recoup 10 billion won in losses from a strong earthquake that struck the southeastern city of Pohang in 2017.

Along with the fine, the FTC has decided to lodge a complaint with the prosecution against KB Insurance and an insurance consultancy, as well as three of their executives. (Yonhap)