Hanwha General Insurance is considering a merger with its subsidiary Carrot General Insurance.
According to the insurance industry on the 9th, Moon Hyo-il, the chief executive officer of Carrot General Insurance, noted during a meeting with employees on the 26th of last month that they are reviewing a capital increase and a merger with HANWHA GENERAL INSURANCE. The largest shareholder of Carrot General Insurance is HANWHA GENERAL INSURANCE, holding 59.57% of the equity. The second-largest shareholder is T Map Mobility, with 10.72%. A representative from HANWHA GENERAL INSURANCE said, "Nothing has been confirmed that is currently under review."
Carrot General Insurance, established in 2019 under the leadership of Kim Dong-won, the younger son of Hanwha Group Chairman Kim Seung-yeon and president of Hanwha Life, is the country's first digital general insurance company. However, it has not escaped annual deficits since its launch. Hanwha Group brought Moon as chief executive officer (CEO) in September 2022 to improve management difficulties, but the company recorded a loss of 66.2 billion won last year. The solvency indicator known as the adequate capital ratio for Carrot General Insurance was 156.2% at the end of last year, down from the previous quarter's 189.4%.