"Profitability Up with Increased Alternative Asset Investment"
KB Life, Net Profit 87.0 Billion KRW... Down 7.7%
KB Insurance announced on April 24 that its net profit for the first quarter was 313.5 billion KRW, an increase of 8.2% compared to the same period last year.
Although insurance operating profit decreased due to the base effect of the reversal of Incurred But Not Reported (IBNR) reserves in the same period last year, profitability improved as a result of increased investment in alternative assets, and gains from the valuation and disposal of held bonds rose due to declining interest rates.
At the end of the first quarter, the Contractual Service Margin (CSM) stood at 8.9256 trillion KRW, up approximately 0.3% year-on-year and about 1.2% quarter-on-quarter.
As of the end of last month, the loss ratio was 80.7%, down 0.1 percentage point from the same period last year. The loss ratio for long-term insurance was 80.0%, for general insurance 81.3%, and for auto insurance 82.8%.
The loss ratio for long-term insurance decreased by 1.8 percentage points year-on-year, while the loss ratio for general insurance increased by 9.2 percentage points, and for auto insurance by 2.9 percentage points.
KB Life Insurance recorded a net profit of 87.0 billion KRW in the first quarter. This represents a decrease of 7.7% compared to the same period last year, but an increase of 8.6% compared to the previous quarter.
At the end of the first quarter, the CSM stood at 2.9897 trillion KRW, down 7.7% year-on-year. As of the end of last month, the loss ratio was 63.8%, up 7.2 percentage points from the same period last year.
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