Insurers Emphasize "ESG and Low Birthrate Contribution" but Parental Leave Remains Challenging [K Population Strategy]

Six Major Insurers' Parental Leave Usage Down 11% Year-on-Year Last Year
Many Insurers Fail to Disclose Sustainability Reports
Mandatory Disclosure Postponed to 2026

Major domestic insurance companies are encouraging the use of parental leave as part of their efforts to address low birth rates and promote ESG (Environmental, Social, and Governance) management, but actual usage remains low.

On the 18th, Asia Economy analyzed the recent sustainability management reports published by six major life and non-life insurers in Korea (Samsung Life Insurance, Shinhan Life, Mirae Asset Life, Samsung Fire & Marine Insurance, DB Insurance, and Hyundai Marine & Fire Insurance) and found that the number of employees who took parental leave last year was 639, down about 11% from 717 the previous year.

Samsung Life Insurance, the industry leader in life insurance, had 188 employees take parental leave (including maternity leave) last year, a 21% decrease from 238 the previous year. This was the largest decline among major insurers. By gender, the decrease in parental leave usage was 33.3% for men and 19.2% for women. The number of employees eligible for parental leave at Samsung Life last year was 1,400, down 4% from 1,459 the previous year. Considering these factors, the estimated parental leave usage rate was 13.4% last year, down 2.9 percentage points from 16.3% the previous year. The return-to-work rate after parental leave was 93.7%, a 4.2 percentage point decrease from 97.9% the previous year. Samsung Life introduced in its report that it operates a 'Maternity Protection Program' as part of its win-win finance (human resource management) initiatives, supporting parental leave, pre-birth leave, infertility leave, and child care leave. Since 2011, it has run an in-house maternity protection center providing counseling for pregnant employees, lending childcare products and books, and distributing protective items for expectant mothers.

Shinhan Life had 75 employees take parental leave last year, a 12% increase from 67 the previous year. Despite a 3% decrease in eligible employees from 538 in 2022 to 522 last year, the number of parental leave users increased. Male employees at Shinhan Life returned to work within the same year after parental leave for three consecutive years starting in 2021. Female employees also returned within the same year for two consecutive years starting in 2022. The rate of employees who worked for more than one year after returning from parental leave was 66.7% for men and 36.2% for women.

Mirae Asset Life had 17 employees take parental leave last year, a 19% decrease from 21 the previous year. The number of employees returning after parental leave decreased from 21 in 2022 to 19 last year. However, the rate of employees who worked for more than one year after completing parental leave improved significantly from 73.9% in 2022 to 95.2% last year. Mirae Asset Life operates systems supporting childbirth, childcare, family care, and employee health to foster a creative organizational culture related to ESG. They provide support for parental leave, reduced working hours during childcare periods, and nursing time.

Samsung Fire & Marine Insurance, the market leader in non-life insurance, had 128 employees take parental leave last year, down 18% from 156 the previous year. Among parental leave users, the number of men remained the same as the previous year, but the number of women decreased by 22.4%. The number of employees who worked for more than one year after parental leave increased by 6%, from 134 in 2022 to 142 last year. Samsung Fire & Marine Insurance supports up to one year of paid parental leave for both primary and non-primary caregivers. They also provide separate child care leave to support work-life balance.

DB Insurance had 125 employees take parental leave last year, a 6.7% decrease from 134 the previous year. The rate of employees returning to work within the same year after parental leave increased for men from 66.7% in 2022 to 77.8% in 2023, but decreased for women from 91.1% to 87.9%. DB Insurance supports fetal examination leave, infertility leave, and spouse maternity leave through its maternity protection system.

Hyundai Marine & Fire Insurance had 106 employees take parental leave last year, a 4.9% increase from 101 the previous year. The number of employees returning after parental leave increased by 32.9%, from 82 in 2022 to 109 in 2023. However, the number of employees who worked for more than one year after returning decreased slightly from 79 in 2022 to 77 in 2023. Hyundai Marine & Fire Insurance extended the reduced working hours period during childcare by one year last year and supports staggered working hours, half-day leave, and child care services.

Although major insurance companies have been releasing sustainability management reports one after another, many do not disclose specific figures such as the number of eligible employees for parental leave, actual users, or gender breakdowns. This appears to be due to concerns that revealing low performance in parental leave usage and related childbirth and childcare policies could negatively impact the company’s image amid a social atmosphere actively encouraging such policies. Many small and medium-sized companies do not publish reports at all, citing budget and manpower shortages. As of last year, about 25% of domestic insurance companies did not disclose related reports. The mandatory sustainability disclosure, originally scheduled to be implemented in 2025, has been postponed to after 2026.