Semiannual Net Profit Up 1.9% Year-on-Year
New Business CSM in Q2 Jumps 16.8% on Strong Health Insurance Sales
Samsung Life Insurance achieved its highest-ever half-year performance in the first half of this year, setting a new record for the period. This was driven by a net increase in the Contractual Service Margin (CSM) thanks to strong sales of health insurance products.
On August 13, Samsung Life Insurance announced at a corporate briefing (IR) that its consolidated net profit attributable to controlling shareholders for the first half of this year reached KRW 1.3941 trillion, up 1.9% from KRW 1.3685 trillion in the same period last year. The cumulative CSM increased by KRW 800 billion, reaching KRW 13.7 trillion, demonstrating continued stable growth.
Insurance service profit amounted to KRW 831.3 billion, benefiting from increased amortization gains resulting from the net growth in CSM. Investment profit, despite higher recurring income such as net interest margin and dividend income, decreased by 8.4% year-on-year to KRW 1.0207 trillion due to the underperformance of consolidated subsidiaries.
The new business CSM for the second quarter rose by 16.8% quarter-on-quarter to KRW 768.6 billion, driven by robust sales of high-margin health insurance products. In particular, the cumulative CSM for the health insurance segment reached KRW 1.141 trillion, up 27.6% year-on-year, and the proportion of new business CSM in the total increased from 74% in the first quarter to 85%.
In terms of sales channels, the number of exclusive agents remained at an industry-leading level of 40,840.
A Samsung Life Insurance representative stated, "The GA (General Agency) channel is also achieving balanced growth in both exclusive and non-exclusive channels by strengthening exclusive product offerings and enhancing infrastructure competitiveness."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
