[Edaily Reporter Kim Se-yeon ] TONGYANG LIFE INSURANCE(082640), which has been incorporated into the Woori Financial Group, reported a net income of 66.9 billion won for the second quarter of this year, an increase of more than 80% compared to the same period last year. During the same period, its solvency ratio (K-ICS) rose by 28.0 percentage points (p), indicating improved capital soundness.

TONGYANG LIFE INSURANCE announced on the 27th that its second-quarter revenue rose 25.7% year-over-year to 1.3789 trillion won, while operating profit surged 109.8% to 86.8 billion won.
In particular, net income for the second quarter rose 84.7% compared to the same period last year (36.2 billion won) and 167.4% compared to the previous quarter (25.0 billion won). Net income for the first half of the year totaled 91.9 billion won, an increase of 11.5% year-over-year. This improvement in profitability, driven primarily by protection-oriented insurance products, is attributed to expanding sales of recently launched long-term whole life insurance policies (such as the “Woori WON 7x Happier Plus Whole Life Insurance”).
Key operating indicators also improved. Second-quarter annualized premium equivalent (APE) from new contracts reached 206.5 billion won, a 48.4% increase from the first quarter (139.2 billion won). Consequently, cumulative APE from new contracts for the first half of the year totaled 345.7 billion won.
Profitability metrics also improved as the company restructured its product portfolio to focus on long-term whole life insurance. Second-quarter new business contract margin (CSM) reached 148 billion won, a 56.7% increase from the previous quarter (94.5 billion won), and totaled 242.5 billion won on a cumulative basis for the first half of the year.
The K-ICS ratio also improved significantly. As of the first half of the year, the K-ICS ratio stood at 205%, up 28.0 percentage points from the same period last year. TONGYANG LIFE INSURANCE explained that this was due to efforts to enhance capital soundness, including an expansion of available capital and a reduction in required capital.
An official from TONGYANG LIFE INSURANCE stated, “We have established a stable channel portfolio and are continuously pursuing business operations based on profitability and risk management,” adding, “Going forward, we will continue to manage profitability and financial soundness in a balanced manner while further strengthening our foundation for mid- to long-term growth.”