In 2024, the global life and health reinsurance market experienced stabilized mortality rates in the post-COVID-19 environment. However, uncertainty lingers as to whether mortality rates will return to pre-pandemic levels and what the long-term health impacts of the post-pandemic period will be, making it increasingly challenging to establish appropriate assumptions for pricing. Additionally, emerging risks, such as potential new pandemics, rising drug use, and increasing suicide rates, continue to impact life reinsurance pricing and risk assessment. Despite these challenges, we remain committed to a profit-focused underwriting approach, ensuring sustainable and responsible growth in an evolving market landscape.
Korean Re strategically adjusted its overseas life and health portfolio in 2024, with gross written premiums decreasing by 11.2% to KRW 463.8 billion. This adjustment was driven by our strategic decision aimed at enhancing portfolio profitability through recaptures and the discontinuation of new business in underperforming segments, aligning with our focus on profitability-driven underwriting. From a regional perspective, North America accounted for the largest share at 52%, followed by Asia at 35%, with China and Japan contributing 22% and 11%, respectively. South America represented approximately 9% of the total.
In terms of profitability, 2024 saw a decline compared to the previous year due to the unfavorable performance of past in-force business and the impact of a more detailed valuation approach, which led to increased reserves.
However, with portfolio improvements made in 2024, we anticipate better profitability in the upcoming year. While uncertainties persist, and competition in the life reinsurance sector is still intense, we continue to bolster our profitability, primarily through short-term contracts that effectively respond to evolving market uncertainties.
Looking ahead to 2025, we will closely monitor mortality and morbidity market trends, with a strong emphasis on maintaining low volatility and stable profitability through a diversified risk portfolio by region and product. At the same time, we will continue to enhance collaboration with our overseas branches, leveraging our expertise in life and health reinsurance to develop tailored solutions that address the evolving needs of our partners. Through this approach, we aim to strengthen our market position and drive sustainable growth in an ever-changing global landscape.
█ Gross Written Premiums: Overseas Life & Health
(Units: KRW billion, USD million)
| 2024 (KRW) | 2024 (USD) | 2023 (KRW) | 2023 (USD) | |
| Asia | 163.5 | 119.5 | 206.7 | 156.7 |
| Americas & Oceania | 286.7 | 209.5 | 303.3 | 229.9 |
| Europe, Middle East & Africa (EMEA) | 13.7 | 10.0 | 12.5 | 9.5 |
| Total | 463.8 | 338.9 | 522.4 | 395.9 |
* Individual figures may not add up to the total shown due to rounding.
In 2024, the global life and health reinsurance market experienced stabilized mortality rates in the post-COVID-19 environment. However, uncertainty lingers as to whether mortality rates will return to pre-pandemic levels and what the long-term health impacts of the post-pandemic period will be, making it increasingly challenging to establish appropriate assumptions for pricing. Additionally, emerging risks, such as potential new pandemics, rising drug use, and increasing suicide rates, continue to impact life reinsurance pricing and risk assessment. Despite these challenges, we remain committed to a profit-focused underwriting approach, ensuring sustainable and responsible growth in an evolving market landscape.
Korean Re strategically adjusted its overseas life and health portfolio in 2024, with gross written premiums decreasing by 11.2% to KRW 463.8 billion. This adjustment was driven by our strategic decision aimed at enhancing portfolio profitability through recaptures and the discontinuation of new business in underperforming segments, aligning with our focus on profitability-driven underwriting. From a regional perspective, North America accounted for the largest share at 52%, followed by Asia at 35%, with China and Japan contributing 22% and 11%, respectively. South America represented approximately 9% of the total.
In terms of profitability, 2024 saw a decline compared to the previous year due to the unfavorable performance of past in-force business and the impact of a more detailed valuation approach, which led to increased reserves.
However, with portfolio improvements made in 2024, we anticipate better profitability in the upcoming year. While uncertainties persist, and competition in the life reinsurance sector is still intense, we continue to bolster our profitability, primarily through short-term contracts that effectively respond to evolving market uncertainties.
Looking ahead to 2025, we will closely monitor mortality and morbidity market trends, with a strong emphasis on maintaining low volatility and stable profitability through a diversified risk portfolio by region and product. At the same time, we will continue to enhance collaboration with our overseas branches, leveraging our expertise in life and health reinsurance to develop tailored solutions that address the evolving needs of our partners. Through this approach, we aim to strengthen our market position and drive sustainable growth in an ever-changing global landscape.
█ Gross Written Premiums: Overseas Life & Health
(Units: KRW billion, USD million)
2024 (KRW) |
2024 (USD) |
2023 (KRW) |
2023 (USD) |
|
Asia |
163.5 |
119.5 |
206.7 |
156.7 |
Americas & Oceania |
286.7 |
209.5 |
303.3 |
229.9 |
Europe, Middle East & Africa (EMEA) |
13.7 |
10.0 |
12.5 |
9.5 |
Total |
463.8 |
338.9 |
522.4 |
395.9 |
* Individual figures may not add up to the total shown due to rounding.