DB Insurance reported that its net income for the first quarter of this year was 447 billion won, a decrease of 23.4% compared to the same period last year on the 14th.
During the same period, sales increased by 7.4% to 4.9741 trillion won, but operating profit fell by 15.6% to 646.6 billion won.
The insurance profit amounted to 402.7 billion won, a decline of 28.5%. Long-term insurance recorded 394 billion won, down 12.1% due to increased loss ratios and expanded one-time expenses.
In particular, the operating profit from auto insurance showed a decrease of 51.4%, falling to 45.8 billion won, attributed to a 2.9 percentage point rise in loss ratio due to reduced auto insurance premiums.
However, general insurance recorded a loss of 37 billion won due to a 10.1 percentage point increase in loss ratio as a result of the wildfire impact in Los Angeles, United States.
Nonetheless, investment income rose by 19.8%, reaching 244 billion won, partially offsetting the decline in performance.
The profitability indicator, the insurance contract margin (CSM) balance, stood at 12.8 trillion won at the end of the first quarter of this year, an increase of about 600 billion won compared to the end of last year. The CSM amortization did not change compared to the same period last year due to the impact of the changes in assumptions regarding non- and low-surrender insurance at the end of last year.