DB Insurance's First-Half Net Profit Up 8%... Insurance Profit Improves on Strong Long-Term Insurance

DB Insurance announced on the 13th that its net profit for the first half of this year reached 979.6 billion won, an increase of 8% compared to the same period last year.

During the same period, revenue rose by 5.7% to 11.0917 trillion won, while operating profit increased by 13.3% to 1.4272 trillion won. Insurance profit climbed 17.6% to 788.4 billion won, and investment profit grew 8.4% to 638.2 billion won.

The improvement in insurance profit was driven by long-term insurance. In the second quarter, profit from long-term insurance reached 510.5 billion won, up 98.6% compared to the same period last year.

The automobile insurance segment recorded a profit of 6.2 billion won, an 80.6% decrease from the same period of the previous year. While the loss ratio remained at a similar level to the first quarter, the pace of increase in the loss ratio slowed.

General insurance turned profitable, posting a 45.1 billion won profit in the second quarter. Stable management of the loss ratio led to improved results. However, due to a substantial loss in the first quarter, the cumulative general insurance profit for the first half of the year was a deficit of 2.4 billion won.

The insurance contract service margin (CSM), which represents future profits, stood at 12.8 trillion won on a direct basis. Although new contract CSM decreased year-on-year due to a drop in protection-type new contracts, improved retention through lapse and surrender management led to a 588.7 billion won rise in total CSM balance compared to the end of last year.

The K-ICS (Korean Insurance Capital Standard) ratio stood at 204.3%, a 27.8 percentage point decrease from the previous quarter. The drop in the K-ICS ratio was attributed to the acquisition of Protegra, but DB Insurance maintained its target of keeping the ratio above 200%.

This content was produced with the assistance of AI translation services.