Hyundai Marine & Fire Insurance reported on the 13th that its net income for the first half of this year was 451 billion won, a 45.9% decrease compared to the same period last year. Hyundai Marine & Fire Insurance explained that excluding the one-time profit (reversal of expenses related to loss contracts) of 274.4 billion won last year, the net income for the first half of this year decreased by 19.3% compared to the same period last year. In the second quarter of this year, the net income was 274.8 billion won, down 30.4% from the same period last year.
The insurance contract service margin (CSM) balance, a profitability indicator, rose to 9.3764 trillion won, an increase of 13.7% compared to the end of last year. The new contract CSM multiple for the second quarter recorded 17.4 times, up from the previous year. The solvency ratio (KICS) stood at 170%, an increase of 13 percentage points from the end of last year.
For the first half of this year, the profit and loss from long-term insurance was 298.4 billion won, a decrease of 59.3% compared to the same period last year. The profit and loss from automobile insurance was recorded at 16.6 billion won, down 79.9% during the same period. Hyundai Marine & Fire Insurance explained that this was due to consecutive premium reductions and rising compensation costs alongside inflation.
In the first half of this year, the profit and loss from general insurance was 73.5 billion won, down 20.5% from the same period last year. This was influenced by high-cost incidents such as the Kumho Tire and Heungdeok IT Valley accidents. Investment profit and loss rose 15.8% to 236.4 billion won during the same period. This increase is attributed to higher interest income due to an expansion in bond investments.