South Korea insurance profits down 7.4% to $6.5b in 2018

Earnings from non-life insurers worsened as car losses rose.

The combined net profit of South Korea’s insurance companies dipped 7.4% YoY to $6.5b (KRW7.27t) in 2018 as the non-life segment booked heavy losses from the auto business, according to government data.

The earnings of life insurers rose 3.1% YoY to $3.60b (KRW4.03t) in 2018 amidst non-recurring gains.

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On the other hand, profits of non-life insurers dropped 17.8% to $2.89b (KRW3.23t). "By contrast, non-life insurance companies' earnings significantly worsened mostly because the loss ratio for auto insurance was higher than a year earlier," it said.

Premium income inched down marginally by 0.3% to $180.23b (KRW201.7t).