Hyundai Marine & Fire Insurance announced on May 14 that its net profit for the first quarter of this year was KRW 203.2 billion, down 57.4% compared to the same period last year.
During the same period, revenue decreased by 5.3% to KRW 4.2029 trillion, and operating profit fell by 55.5% to KRW 285 billion.
The long-term insurance segment recorded KRW 114.3 billion, a sharp decline of 74.2% compared to the same period last year, due to increased losses from epidemic respiratory diseases such as the resurgence of influenza.
The auto insurance segment posted KRW 15.7 billion, down 63% year-on-year, as the loss ratio worsened due to the cumulative reduction in insurance premiums, as well as increases in medical and repair fees.
The general insurance segment and investment profit were recorded at KRW 45.9 billion and KRW 107 billion, respectively, remaining at similar levels to the same period last year.
The balance of the Contractual Service Margin (CSM) stood at KRW 9.1078 trillion, up 10.4% compared to the end of last year. The K-ICS (Korean Insurance Capital Standard) ratio, a key indicator of financial soundness, rose by 2.4 percentage points from the end of last year to 159.4%.
A Hyundai Marine & Fire Insurance official stated, "We plan to strengthen K-ICS management by extending asset duration and considering the issuance of capital securities, and to respond to the financial authorities' direction on capital soundness management."
Hyundai Marine & Fire Insurance Headquarters Building Exterior. Hyundai Marine & Fire Insurance
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