Hyundai Marine & Fire Insurance said on the 23rd that last year's net income was 561.1 billion won, down 45.6% from a year earlier.
However, the company noted that excluding one-off gains such as the reversal of expense related to loss-making contracts reflected in the previous year (274.4 billion won), the decline would be 32.3%. By insurance line, long-term insurance profit came to 338.1 billion won, down 60.9%. A deterioration in the gap between expected and actual insurance claims due to the spread of respiratory illnesses such as influenza weighed on results.
Auto insurance swung to a loss from a profit a year earlier, posting a loss of 90.8 billion won, as cumulative premium cuts and extreme weather such as heavy rain and cold snaps amplified seasonal volatility. General insurance profit came to 148.8 billion won, down 6.1%, due to the impact of several large-loss incidents.
Investment profit was 330.3 billion won, down 6.2% from a year earlier. The K-ICS (risk-based capital ratio) was 190.1%, up 33.1 percentage points from a year earlier, reflecting management of liability sensitivity through increased purchases of long-term bonds and new-contract portfolio management. The CSM (contractual service margin) balance rose 7.9% to 8.9017 trillion won. The company said the increase reflects a rise in the new business multiple driven by portfolio improvements focused on high-CSM product groups.