From Healthcare to MyData... KB Sonbo Captures 'Two Rabbits'

Achievements in CEO Kim Gihwan's First Year
Obtained Full MyData License
Launched Health Management Service

[Asia Economy Reporter Oh Hyung-gil] KB Insurance has succeeded in securing all the newly emerging growth engines in the insurance industry, including healthcare and MyData. This achievement was made in the first year of CEO Kim Ki-hwan's tenure, who emphasized "reviving the industry's No. 1 DNA." After several years of stagnation, the company has proven both profitability and growth by reversing recent performance.

According to the insurance industry on the 15th, KB Insurance obtained the full license for Personal Credit Information Management Business (MyData) from the Financial Services Commission on the 12th. It is the second company to receive the full license after Kyobo Life Insurance, and the first among non-life insurance companies.

The MyData business is a service that collects personal credit information scattered across financial companies into one place and shows it to customers. KB Insurance expects to increase synergy with KB Financial Group affiliates. It already provides services such as insurance subscription information and smart insurance claim services through the bank application (app) to KB Kookmin Bank customers.

This month, the company is also set to officially launch healthcare services. KB Healthcare, a healthcare subsidiary established last month for the first time in the insurance industry, plans to promote digital health management services through a mobile application and health management services linked with partner companies as its main business. To this end, Executive Director Choi Nak-cheon, head of the Digital Strategy Headquarters, was appointed as the CEO of KB Healthcare.

By securing healthcare data through the subsidiary, it is expected that the company can actively utilize it in its core business such as insurance claim payments, loss ratio management, and health management marketing.

KB Insurance's performance has continued to grow this year. The cumulative net profit up to the third quarter was 269.2 billion KRW, an increase of 44.3% compared to the same period last year. Although net profit decreased to 61.4 billion KRW in the first quarter compared to the previous year, it rebounded by recording net profits of 79.8 billion KRW and 124.5 billion KRW in the second and third quarters, respectively.

The improvement in insurance operating profit was driven by a lower loss ratio in automobile insurance, and the increase in dividend income from investment funds expanded investment operating profit, leading to a rise in overall performance. After recording an annual net profit of 330 billion KRW in 2017, the company experienced a decline with 189.2 billion KRW in 2018, 160.5 billion KRW in 2019, and 140.6 billion KRW in 2020, but has successfully rebounded this year.

This is why CEO Kim Ki-hwan, who took office early this year as a "relief pitcher," is evaluated to have achieved results in improving the company's structure from business performance to internal organization management.

In his inaugural remarks, CEO Kim promised to "immediately reflect the voices of field and operational staff in management, create an organizational culture where employees who boldly say 'No' to the CEO are more recognized, and take responsibility for failures that occur after intense deliberation and execution, with the CEO leading the way," focusing on reorganizing the company.

At the 6th anniversary ceremony held in June, CEO Kim also encouraged employees to regain confidence by saying, "Although the business environment is challenging, I hope you will bring out the inherent No. 1 DNA within us and boldly challenge to be No. 1."

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