The insurance market in Korea is expected to decline by 0.7% in 2023 compared to an increase of 11.6% in 2022, with total premiums projected to reach KRW250.9tn ($186bn), according to a blog on the website of Korean Re.
Samsung Fire & Marine Insurance (SFM), South Korea's biggest general insurer, has a long-term track record of strong operating performance supported by highly stable underwriting performance with a low level of combined ratio compared with its peers and robust investment profits, says AM Best.
The Financial Services Commission (FSC) will unveil new measures in October to promote the pet insurance market.
Seoul Guarantee Insurance (SGI), South Korea's only guarantee insurance company, will go public on 3 November, the first state-run company to do so in 13 years.
Korea P&I Club's (KP&I) underwriting fundamentals and profit volatility are expected to improve over the coming years, says AM Best.
Fitch Ratings has assessed the capitalisation and leverage of a group of insurers in South Korea as 'Very Strong' and supportive of the ratings of each of the insurers.
Local insurers are feeling the impact of the climate crisis, with claims on natural disaster insurance policies more than tripled over the past five years.
The combined net profits of both non-life and life insurers in South Korea for the first half of this year soared to around KRW8tn ($5.96bn), in a new record set by the industry.
Insurers have faced challenges in providing EV drivers with adequate insurance coverage at reasonable prices due to the relatively new and rapidly evolving nature of EV technology. However, insufficient underwriting data and experience have been particular obstacles for them, says Korean Re in a blog posted on its website.
South Korean general insurers have reported 20% to 30% surge in inquiries about insurance products that cover fatal stabbings and similar assaults on individuals in public places. Recently there has been a spate in fatal stabbings and street crimes in the country's urban areas.