South Korea insurers see profits sink 15.2% in 9M 2025

Net income slid to $7.90b despite gains from asset sales and revaluations.

South Korea’s insurers saw their net income in the nine months to September 2025 (9M 2025) contract 15.2% year-on-year (YoY) to $7.90b (₩11.2911t), data from the Financial Supervisory Service (FSS) showed.

Twenty-two life insurers’ net income dipped 8.3% YoY to $3.38b (₩4.8301t) during the period. 

Specifically, increasing expenses related to onerous contracts led to a decline of $0.67b (₩953.4b) in insurance income whilst investment income grew $0.32b (₩450.8b) on the back of asset disposals and valuation gains.

Similarly, thirty-one non-life insurers’ net income also fell 19.6% YoY to $4.52b (₩6.4610t). 

But investment income increased $0.62b (₩880.8b) based on asset management-related gains, higher loss ratios made the non-life insurers lose $1.92b (₩2.7478t) in insurance income compared to a year earlier.

“Insurance companies should manage their financial stability amidst mounting uncertainty about financial markets,” the FSS said in a media release. 

“Against this backdrop, the Financial Supervisory Service will closely monitor the financial status of the insurance companies with measures to ensure a proactive and preemptive response to potential risks,” it added.

($1.00 = ₩1,425.86)