In 2022, pandemic-related uncertainty continued to impact the global life reinsurance market. Although COVID-19 started turning into an endemic in the second half of 2022, it still remained a threat to markets throughout the year, with sudden waves caused by COVID-19 variants spreading through several local areas. In the face of the uncertainty, Korean Re has constantly strived to mitigate any expected negative effects based on portfolio diversification and thorough risk management.

In 2022, the volume of our overseas life and health business remained mostly stable at the previous year’s level, with gross written premiums increasing by 1% to KRW 457 billion. We were able to achieve this positive growth by maintaining profit-oriented underwriting strategies, such as avoiding poorly performing contracts and focusing on writing short-term contracts. Geographically, North America accounted for the highest portion at 43%, followed by Asia at 30%, (China and Japan taking up 14% and 13%, respectively), and South America at 20%.

Our profitability remained weak because there was an increase in excess mortality due to COIVD-19. As the impact is expected to stabilize in 2023, we will put our maximum capabilities into the recovery of profitability and make it our top priority when we respond to reinsurance demands and manage corresponding risks.

In 2023, we will strive to minimize profit and loss volatility and continue to secure mid- to long-term revenue sources through detailed and systematic management of the differences between actual and expected results based on data analysis and sophisticated pricing and valuation. Furthermore, we will stay committed to reinforcing our current business relationships, while working closely with our global offices to identify the needs of local customers and explore new business opportunities of providing reinsurance solutions to them.

Overseas Life & Health Portfolio by Region in 2022

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