[데일리-경제만평] With the booming stock market and reduced losses due to COVID-19… Insurers’ net profit rose 37% in the third quarter

According to the Financial Supervisory Service on the 25th, the net profit (provisional) of insurance companies until September this year was 7.6305 trillion won, an increase of 2.73.1 trillion won and 37.3% from the same period last year.

Life insurers posted a net profit of 3.69 trillion won, up 17.8 percent from the same period last year.

The net profit of non-life insurers during this period was KRW 3.939 trillion, a 62.6% increase.

Life insurers’ operating profit improved as the amount of guarantee reserves such as variable insurance decreased and business expenses decreased due to the rise in stock prices and interest rates.

Investment operating profit deteriorated as interest income and gains on disposal of financial assets decreased.

Non-life insurance companies improved their insurance operating profit and loss as the loss ratio of auto insurance and long-term insurance fell due to the impact of COVID-19, and the loss ratio of general insurance also fell due to a decrease in large-scale accidents.

▲Illustration = artist Jinho Kim

[ⓒ 데일리매거진. 무단전재-재배포 금지]