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Insurer profit dips 15% net on increased loss rates through September

Published: 19 Nov. 2025, 08:56 Updated: 19 Nov. 2025, 14:21

The Financial Supervisory Service's office in Yeouido, western Seoul, is pictured in this undated file photo. [YONHAP]

Insurance companies in Korea saw their combined net profit fall 15 percent from a year earlier in the first three quarters of the year, due largely to increased loss rates and costs, data showed Wednesday.

The combined net profit of 22 life insurers and 31 nonlife insurance companies here came to 11.2 trillion won ($7.67 billion) in the January-September period, down 2.02 trillion won from the same period last year, according to the data from the Financial Supervisory Service.

The on-year decline was attributed to a rise in loss rates and increased costs, according to the financial watchdog.

Life insurance firms' net profit fell 8.3 percent on year to 4.83 trillion won in the first nine months, with that of non-life insurers dipping 19.6 percent to 6.46 trillion won over the cited period.

The companies' insurance premium income came to 183.38 trillion won in the January-September period, up 8.4 percent, or 14.19 trillion won, from a year earlier, the data showed.

Their return on assets stood at 1.16 percent at the end of September, down 0.27 percentage points from a year earlier, with their return on equity slipping 1.02 percentage points to 10.26 percent.

Their total assets stood at 1,327 trillion won as of the end of September, up 4.6 percent, or 58.3 trillion won, from a year earlier, the data showed.

Yonhap