Fitch Ratings believes that its portfolio of Korean insurers can withstand reduced valuations on their overseas commercial real estate (CRE) and other real-estate exposures without major adverse ratings consequences in the short term.
Life insurance companies are moving farther into areas of health insurance business which are traditionally the domain of non-life insurance companies.
Insurance companies in South Korea, comprising 22 life insurers and 31 non-life insurers, generated KRW13.36tn ($9.68bn) in net income for the year 2023, up by KRW4.18tn or 45.5% from 2022, according to preliminary data released by the Financial Supervisory Service.
Seven out of 10 (68.7%) life insurance planners consider the details and amount of coverage the most important in the consultation process with customers. The customer's economic ability is the important aspect to 15.1% of planners.
Samsung Fire & Marine Insurance, South Korea's biggest general insurer, has stopped offering bancassurance services after 21 years of such collaboration with banks.
Following challenging renewals in 2023, the Korean reinsurance market was stable at 1 April, with more than adequate capacity for property catastrophe risks, says Aon.
Insurance companies in South Korea saw their net profit soar by 45.5% in 2023 compared to 2022 on higher sales, according to preliminary data from the Financial Supervisory Service (FSS).
The Ministry of Trade, Industry and Energy has announced that the government would inject a record amount of KRW255tn ($189.4bn) in trade insurance this year to support exports.
The capital score of one of South Korea's three biggest life insurers, Kyobo Life Insurance, as measured by the Fitch Prism Model, is estimated to have been in the 'Strong' category at end-2023 under the IFRS17 and IFRS9 accounting standards, says Fitch Ratings.
KBFG Insurance (China) has achieved positive operating profit over the last five years (2019 to 2023), with low-to-mid single digit return-on-equity ratios reported during the period, notes AM Best.