Inevitable Insurance Slump... Samsung Life and Fire & Marine 'Earnings Shock'

[Asia Economy Reporter Oh Hyung-gil] As the insurance industry falls into a slump, the industry leaders Samsung Life Insurance and Samsung Fire & Marine Insurance also recorded earnings shocks.

Samsung Life Insurance announced on the 30th that its net profit for last year was 1.0516 trillion won, a 39.3% decrease compared to 1.7337 trillion won the previous year.

Revenue decreased by 1.4% from 32.2408 trillion won in 2018 to 31.804 trillion won last year, and operating profit also dropped by 51.5%, from 2.5833 trillion won to 1.2525 trillion won.

Samsung Life Insurance explained that the decrease in net profit reflected the impact of the sale of Samsung Electronics shares in 2018. As part of the separation of banking and commerce, Samsung Life Insurance sold its Samsung Electronics shares through a block deal, recording a stock disposal gain of 1.0958 trillion won last year.

Samsung Fire & Marine Insurance also saw its net profit decrease by 39.5% to 647.8 billion won last year. Revenue increased by 3.7% from 22.209 trillion won the previous year to 23.0333 trillion won in 2019.

Samsung Fire & Marine Insurance explained that operating profit declined due to a decrease in investment business income and an increase in insurance business expenses.

This content was produced with the assistance of AI translation services.