Hyundai Marine & Fire Insurance reported on the 21st that its net profit for the previous year was 1.03 trillion won, an increase of 33.4% compared to the previous year.
The profit and loss from long-term insurance rose to 865.3 billion won, up 247.6% from the previous year. Hyundai Marine & Fire Insurance explained that although the losses from epidemic respiratory diseases increased due to a rise in flu patients, expenses related to loss-bearing contracts decreased due to the effects of rate increases in actual loss insurance.
The profit and loss from auto insurance recorded 19.2 billion won, down 90.5% from the previous year. This decrease was attributed to lowered premiums and an increase in car accidents due to seasonal factors like heavy snow at the end of last year.
The profit and loss from general insurance showed an increase of 107.5% compared to the previous year, amounting to 158.6 billion won. In contrast, investment profit and loss recorded 352.1 billion won during the same period, a decrease of 21.9% due to the base effect of dividends.
The Contractual Service Margin (CSM) was recorded at 82.477 trillion won, a decrease of 9.2% compared to last year, influenced by guidelines on cancellation rates for mutual and low face-value insurance from financial authorities.
The solvency indicator, the solvency margin ratio, fell 14.3 percentage points from the end of last year's fourth quarter to 155.8%, barely exceeding the financial authorities' recommended level of 150%. Hyundai Marine & Fire Insurance noted, "We plan to strengthen the management of the solvency margin ratio through an expansion of asset duration, issuance of capital securities, and underwriting initiatives."