Lotte Insurance Posts Operating Profit of 84 Billion KRW in H1... Long-term Insurance Profit Up 37.9%

Insurance Contract Margin (CSM) 2.4598 Trillion KRW... 32.1% Growth
Investment Gains 24 Billion KRW, Maintaining Stable Performance
Quality Growth Focused on Long-term Insurance in the Second Half

Lotte Insurance announced on the 14th that it recorded an operating profit of 84 billion KRW and a net profit of 66.3 billion KRW for the first half of 2024. The insurance operating profit for the first half reached 83.8 billion KRW, marking a 23.6% growth compared to the previous year. In particular, the core long-term insurance segment recorded a profit of 84 billion KRW, increasing by 37.9%.

As of the end of the first half, Lotte Insurance's Contractual Service Margin (CSM) stood at 2.4598 trillion KRW, growing 32.1% year-over-year. The new contract CSM recorded 253.2 billion KRW, with new monthly premiums for long-term protection insurance reaching 20.1 billion KRW, achieving the highest-ever business performance.

The exclusive organization also expanded, with the number of active exclusive planners increasing by 60.0% year-over-year to 4,412. Alongside this, the number of smart planners introduced through the ‘wonder™’ platform rapidly increased, driving business model innovation through digital transformation.

Excluding interest rate and exchange rate fluctuations, investment gains for the first half amounted to 24 billion KRW, maintaining stable performance. Measures such as selling securities, rebalancing into safe assets, and conservative asset revaluation contributed to fundamental improvements.

Lotte Insurance recorded a +0.9% ratio of actual to expected results, confirming accurate CSM calculation. In the second half, the company plans to continuously expand business performance while maintaining qualitative growth in long-term insurance.