| Reinsurance Contracts |
| (1) |
Details of reinsurance contracts assets and reinsurance contracts liabilities are as follows (Unit: Korean Won in millions): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
Reinsurance contracts assets |
|
|
381,667 |
|
|
|
231,261 |
|
|
|
7,279 |
|
|
|
620,207 |
|
Reinsurance contracts liabilities |
|
|
52,842 |
|
|
|
131,344 |
|
|
|
606 |
|
|
|
184,792 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts asset (liabilities) |
|
|
328,825 |
|
|
|
99,917 |
|
|
|
6,673 |
|
|
|
435,415 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (2) |
Changes in liabilities for remaining coverage and liabilities for incurred claims within reinsurance contracts liabilities that premium allocation approach was not applied for the year ended December 31, 2025, are as follows (Unit: Korean Won in millions): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
| |
|
|
|
|
|
|
Asset (liability)
for incurred
claims |
|
|
|
|
| |
|
|
|
Excluding loss
recovery
component |
|
|
|
|
Beginning balance |
|
Reinsurance contracts assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
Reinsurance contracts liabilities |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts assets (liabilities) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase due to business combinations |
|
Reinsurance contracts assets |
|
|
582,962 |
|
|
|
— |
|
|
|
3,484 |
|
|
|
586,446 |
|
|
|
Reinsurance contracts liabilities |
|
|
153,241 |
|
|
|
— |
|
|
|
(16,892 |
) |
|
|
136,349 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts assets (liabilities) |
|
|
429,721 |
|
|
|
— |
|
|
|
20,376 |
|
|
|
450,097 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reinsurance expenses |
|
Reinsurance contracts under conversion |
|
|
(37,012 |
) |
|
|
— |
|
|
|
— |
|
|
|
(37,012 |
) |
|
|
Net reinsurance contracts under conversion |
|
|
(37,012 |
) |
|
|
— |
|
|
|
— |
|
|
|
(37,012 |
) |
Reinsurance income |
|
Reinsurance expenses and reinsurance service expenses incurred |
|
|
— |
|
|
|
56 |
|
|
|
32,285 |
|
|
|
32,341 |
|
|
|
Changes in asset for incurred claims |
|
|
— |
|
|
|
— |
|
|
|
3,745 |
|
|
|
3,745 |
|
|
|
Reversal of loss components |
|
|
— |
|
|
|
633 |
|
|
|
— |
|
|
|
633 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
— |
|
|
|
689 |
|
|
|
36,030 |
|
|
|
36,719 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reinsurance service result |
|
|
(37,012 |
) |
|
|
689 |
|
|
|
36,030 |
|
|
|
(293 |
) |
Reinsurance finance interest income and other insurance finance income |
|
Effect of changes in credit risk of reinsurance liabilities |
|
|
365 |
|
|
|
— |
|
|
|
— |
|
|
|
365 |
|
|
|
Net income |
|
|
6,115 |
|
|
|
278 |
|
|
|
512 |
|
|
|
6,905 |
|
|
|
Other comprehensive income |
|
|
(20,099 |
) |
|
|
— |
|
|
|
(58 |
) |
|
|
(20,157 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
(13,619 |
) |
|
|
278 |
|
|
|
454 |
|
|
|
(12,887 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset (liability)
for incurred
claims |
|
|
|
|
|
|
|
|
Excluding loss
recovery
component |
|
|
|
|
Total Changes in net income, other comprehensive income and reinsurance service result |
|
|
(50,631 |
) |
|
|
967 |
|
|
|
36,484 |
|
|
|
(13,180 |
) |
Reinsurance service result and investment components excluded from reinsurance finance interest income and other insurance finance income |
|
|
(39,806 |
) |
|
|
— |
|
|
|
39,806 |
|
|
|
— |
|
Cash flow |
|
Premium paid |
|
|
62,921 |
|
|
|
— |
|
|
|
— |
|
|
|
62,921 |
|
|
|
Claims and other reinsurance service expenses paid including investment components |
|
|
(6,662 |
) |
|
|
— |
|
|
|
(59,840 |
) |
|
|
(66,502 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
56,259 |
|
|
|
— |
|
|
|
(59,840 |
) |
|
|
(3,581 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other increase (decrease) |
|
|
— |
|
|
|
— |
|
|
|
2,079 |
|
|
|
2,079 |
|
Ending balance |
|
Reinsurance contracts assets |
|
|
460,626 |
|
|
|
125,747 |
|
|
|
33,834 |
|
|
|
620,207 |
|
|
|
Reinsurance contracts liabilities |
|
|
65,083 |
|
|
|
124,780 |
|
|
|
(5,071 |
) |
|
|
184,792 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts asset (liabilities) |
|
|
395,543 |
|
|
|
967 |
|
|
|
38,905 |
|
|
|
435,415 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (3) |
Changes in the estimate of the present value of the future cash flows, risk adjustment for non-financial risk and contractual service margin for the year ended December 31, 2025, are as follows (Unit: Korean Won in millions): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
| |
|
|
|
Estimate of the
present value
of future cash
flows |
|
|
Risk adjustment for non-financial risk |
|
|
Reinsurance
contracts
under
conversion |
|
|
|
|
Beginning balance |
|
Reinsurance contracts assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
Reinsurance contracts liabilities |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts asset (liabilities) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase due to business combinations |
|
Reinsurance contracts assets |
|
|
470,958 |
|
|
|
17,215 |
|
|
|
98,273 |
|
|
|
586,446 |
|
|
|
Reinsurance contracts liabilities |
|
|
289,635 |
|
|
|
(20,976 |
) |
|
|
(132,310 |
) |
|
|
136,349 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts asset (liabilities) |
|
|
181,323 |
|
|
|
38,191 |
|
|
|
230,583 |
|
|
|
450,097 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes related to current service |
|
Amortization of contractual service margin |
|
|
— |
|
|
|
— |
|
|
|
(7,868 |
) |
|
|
(7,868 |
) |
|
|
Changes in risk adjustment for non-financial risk |
|
|
— |
|
|
|
(1,024 |
) |
|
|
— |
|
|
|
(1,024 |
) |
|
|
Experience adjustments |
|
|
4,221 |
|
|
|
— |
|
|
|
— |
|
|
|
4,221 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
4,221 |
|
|
|
(1,024 |
) |
|
|
(7,868 |
) |
|
|
(4,671 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
| |
|
|
|
Estimate of the
present value
of future cash
flows |
|
|
Risk adjustment for non-financial risk |
|
|
Reinsurance
contracts
under
conversion |
|
|
|
|
Changes related to future service |
|
Change in estimate adjusting contractual service margin |
|
|
133,284 |
|
|
|
(990 |
) |
|
|
(132,294 |
) |
|
|
— |
|
|
|
Change in estimate adjusting loss recovery component |
|
|
6,196 |
|
|
|
(5,715 |
) |
|
|
— |
|
|
|
481 |
|
|
|
Effect of initially recognized contracts |
|
|
(572 |
) |
|
|
38 |
|
|
|
686 |
|
|
|
152 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
138,908 |
|
|
|
(6,667 |
) |
|
|
(131,608 |
) |
|
|
633 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes related to past service |
|
Changes in asset for incurred claims |
|
|
3,643 |
|
|
|
102 |
|
|
|
— |
|
|
|
3,745 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
3,643 |
|
|
|
102 |
|
|
|
— |
|
|
|
3,745 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reinsurance service result |
|
|
146,772 |
|
|
|
(7,589 |
) |
|
|
(139,476 |
) |
|
|
(293 |
) |
Reinsurance finance interest income and other insurance finance income |
|
Effect of changes in credit risk of reinsurance liabilities |
|
|
365 |
|
|
|
— |
|
|
|
— |
|
|
|
365 |
|
|
|
Net income |
|
|
2,732 |
|
|
|
273 |
|
|
|
3,900 |
|
|
|
6,905 |
|
|
|
Other comprehensive income |
|
|
(19,685 |
) |
|
|
(472 |
) |
|
|
— |
|
|
|
(20,157 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
(16,588 |
) |
|
|
(199 |
) |
|
|
3,900 |
|
|
|
(12,887 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Changes in net income, other comprehensive income and reinsurance service result |
|
|
130,184 |
|
|
|
(7,788 |
) |
|
|
(135,576 |
) |
|
|
(13,180 |
) |
Cash flow |
|
Premium paid |
|
|
62,921 |
|
|
|
— |
|
|
|
— |
|
|
|
62,921 |
|
|
|
Claims and other reinsurance service expenses paid including investment components |
|
|
(66,502 |
) |
|
|
— |
|
|
|
— |
|
|
|
(66,502 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sub-total |
|
|
(3,581 |
) |
|
|
— |
|
|
|
— |
|
|
|
(3,581 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other increase (decrease) |
|
|
2,079 |
|
|
|
— |
|
|
|
— |
|
|
|
2,079 |
|
Ending balance |
|
Reinsurance contracts assets |
|
|
371,842 |
|
|
|
24,068 |
|
|
|
224,297 |
|
|
|
620,207 |
|
|
|
Reinsurance contracts liabilities |
|
|
61,837 |
|
|
|
(6,335 |
) |
|
|
129,290 |
|
|
|
184,792 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net reinsurance contracts asset (liabilities) |
|
|
310,005 |
|
|
|
30,403 |
|
|
|
95,007 |
|
|
|
435,415 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (4) |
The effect on the consolidated statement of financial position at the time of initial recognition of new reinsurance contracts for the year ended December 31, 2025 is as follows (Unit: Korean Won in millions): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
| |
|
|
|
The estimates
of the present
value of future
cash outflows |
|
|
The estimates of
the present value
of future cash
inflows |
|
|
Risk
adjustment
for non-
financial risk |
|
|
|
|
|
|
|
|
Loss
recovery
component at
initial
recognition |
|
Initial recognition of new reinsurance contracts (*1) |
|
Non-profitable group of contracts |
|
|
(558 |
) |
|
|
480 |
|
|
|
5 |
|
|
|
73 |
|
|
|
— |
|
|
|
— |
|
| |
Profitable group of contracts |
|
|
(3,265 |
) |
|
|
2,771 |
|
|
|
33 |
|
|
|
613 |
|
|
|
152 |
|
|
|
152 |
|
|
|
Sub-total |
|
|
(3,823 |
) |
|
|
3,251 |
|
|
|
38 |
|
|
|
686 |
|
|
|
152 |
|
|
|
152 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Business Combination |
|
|
(2,665,609 |
) |
|
|
2,846,933 |
|
|
|
38,190 |
|
|
|
230,583 |
|
|
|
450,097 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
(2,669,432 |
) |
|
|
2,850,184 |
|
|
|
38,228 |
|
|
|
231,269 |
|
|
|
450,249 |
|
|
|
152 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (*1) There are no reinsurance contracts acquired in a transfer.
(5) |
Expected amounts of insurance revenue to be recognized in profit or loss by the anticipated amortization period of the contractual service margin (CSM) for reinsurance contracts as of December 31, 2025, are as follows (Unit: Korean Won in millions): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the year ended December 31, 2025 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
366 |
|
|
|
340 |
|
|
|
320 |
|
|
|
302 |
|
|
|
287 |
|
|
|
1,185 |
|
|
|
1,627 |
|
|
|
934 |
|
|
|
555 |
|
|
|
5,916 |
|
Health |
|
|
(25,395 |
) |
|
|
(23,719 |
) |
|
|
(18,737 |
) |
|
|
(13,295 |
) |
|
|
(5,064 |
) |
|
|
25,764 |
|
|
|
71,820 |
|
|
|
51,391 |
|
|
|
26,026 |
|
|
|
88,791 |
|
Annuity/Savings and others |
|
|
43 |
|
|
|
38 |
|
|
|
33 |
|
|
|
29 |
|
|
|
25 |
|
|
|
78 |
|
|
|
45 |
|
|
|
9 |
|
|
|
— |
|
|
|
300 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
(24,986 |
) |
|
|
(23,341 |
) |
|
|
(18,384 |
) |
|
|
(12,964 |
) |
|
|
(4,752 |
) |
|
|
27,027 |
|
|
|
73,492 |
|
|
|
52,334 |
|
|
|
26,581 |
|
|
|
95,007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|