Head of Korea Insurance Research Institute: "Focusing on Practical Research in Pensions and Health Insurance"

Insurance Research Institute Holds New Year Press Conference

[Asia Economy Reporter Minwoo Lee] Ahn Cheol-kyung, President of the Korea Insurance Research Institute, forecasted this year as a "year of challenge" and emphasized focusing on more practical research. He plans to respond swiftly to current issues ranging from fields such as mobility and ESG (environment, social, and governance) to pension policies and health insurance, aiming not to be disconnected from the market.

On the 31st, President Ahn held a press conference in Yeouido, Yeongdeungpo-gu, Seoul, emphasizing this point. He explained, "The research arena, which has sought growth engines under the theme of 'low growth and low interest rates,' is changing amid population aging, climate change, and increasing uncertainties in inflation and interest rates. We will make future insurance management research, which prepares for the future insurance market and presents the industry's vision, our main research direction, raising timely issues and providing solid evidence and alternatives."

He also stressed support for preparations regarding the introduction of new accounting standards IFRS 17 and the new solvency regime (K-ICS). He stated, "The introduction of new systems will make capital and performance management especially important. With the implementation of IFRS 17, we will support a year in which short-term performance orientation that sacrifices future profits for current gains disappears, and sustainable, value-based management is established."

He presented two major research directions for this year: "insurance market risk management" and "strengthening the competitiveness of the insurance industry." First, to manage risks, he plans to conduct research focusing on "supply and market stability." On the supply side, efforts will be made on regulatory innovation research to manage insurance payments in response to high inflation, minimize market distortions, and improve accessibility for vulnerable groups. On the market side, research will be promoted to strengthen the role of the insurance industry as a long-term investor, including long-term alternative investments and market stabilization funds.

To enhance the competitiveness of the insurance industry, he plans to focus intensively on research expanding market boundaries and comparing big tech and insurtech. Additionally, he emphasized the need for research on private pensions, complaints and disputes, changes in international regulations, and new coverage demands. President Ahn said, "We will strengthen the role of private safety nets in the insurance industry through public pension reform and enhancing the role of private pensions, and improve reasonable consumer protection and trust through research on complaints and disputes. We will also conduct research to respond to new coverage demands arising from the expansion of pet culture and demographic changes."

Ahn Cheol-kyung, President of the Korea Insurance Research Institute, is holding a press conference on the 31st in Yeouido, Yeongdeungpo-gu, Seoul. (Photo by Korea Insurance Research Institute)