Taiwan's insurance sector posts $5.5b pre-tax profit in May

Its general insurance market surged nearly five times more than last year.

The pre-tax profit of Taiwan’s insurance sector at the end of May reached $5.47b (NT$176.5b), data from the Insurance Bureau showed.

Life insurance enterprises contributed $5.08b (NT$164b), marking an increase of $5.38b (NT$173.5b) or 1,826.3% on a year-on-year (YoY) basis. 

Non-life insurance enterprises had a pre-tax profit of $0.39b (NT$12.5b), an increase of $0.32b (NT$10.3b) or nearly five times more than last year’s. 

Owners' equity for insurance enterprises stood at $81.97b (NT$2,612b). 

Life insurance enterprises accounted for $76.73b (NT$2,475.2b), up by $16.98b (NT$547.6b) or 28.4% YoY. 

Non-life insurance enterprises had owners' equity of $4.25b (NT$137.2b), an increase of $1.42b (NT$45.8b) or 50.1% YoY. 

By the end of May 2024, the NT Dollar had depreciated by 5.20% against the US Dollar since the end of 2023. 

The cumulative balance of the foreign exchange valuation reserve for life insurance enterprises was $5.84b (NT$188.4b), an increase of $2.99b (NT$96.4b). 

The combined impact of exchange and hedging gains/losses, along with the net effect of volatility on the foreign exchange valuation reserve, amounted to $-2.67b (NT$-86.2b). 

Meanwhile, overseas investments by life insurers resulted in net gains of $14.02b (NT$452.4b), excluding the net effect of volatility on the foreign exchange valuation reserve.

($1.00 = NT$32.69)