Korean Reinsurance Company (commonly known as Korean Re) is a

reinsurance Reinsurance is insurance that an insurance company purchases from another insurance company to insulate itself (at least in part) from the risk of a major claims event. With reinsurance, the company passes on ("cedes") some part of its own insu ...

company based in

Seoul Seoul (; ; ), officially known as the Seoul Special City, is the capital and largest metropolis of South Korea.Before 1972, Seoul was the ''de jure'' capital of the Democratic People's Republic of Korea (North Korea) as stated iArticle 103 ...

, South Korea. Korean Re ranks as the world's 10th largest reinsurer in terms of gross written premiums.

History

Founded in 1963 as a state-funded enterprise, Korean Re was privatized in 1978. In October 2002, it was nominated as 'Reinsurance Company of the Year' by ''Asia Insurance Review''. In May 2010, Korean Re was selected as "Emerging Market Player of the Year" by ''Reinsurance Magazine''.

Business

Korean Re has a diversified underwriting portfolio that consists of personal business (long-term, motor, and life reinsurance) and commercial lines (property, marine, casualty, and bond reinsurance). Over the last decade, Korean Re has expanded into overseas markets. As of 2015, more than 22% of its gross written premiums were generated from abroad. Korean Re has a network of one branch office in Singapore, two subsidiaries in Hong Kong and London, and five international liaison offices. Korean Re's gross written premiums for 2015 increased by 6.6% USD 5,580.2 million, recovering from the slowing trend over the previous two years. This growth was driven by an increase in personal lines, such as long term and life insurance. A strong rebound in premium income from overseas property and casualty treaties also bolstered the overall top-line growth. Korean Re expected to see its net profit for 2016 hit a new high on growing demand for its reinsurance packages from top insurance companies. Korean Re has been seeing an increase in the number of new contracts with top insurers after Standard & Poor's raised its

credit rating A credit rating is an evaluation of the credit risk of a prospective debtor (an individual, a business, company or a government), predicting their ability to pay back the debt, and an implicit forecast of the likelihood of the debtor defaulting. ...

by one notch to A from A− in 2014. S&P hiked the rating two years ago when Korean Re successfully increased capital by issuing $200 million worth hybrid securities for the first time.

References

{{Authority control Reinsurance companies Financial services companies established in 1963 South Korean companies established in 1963 Companies based in Seoul Companies listed on the Korea Exchange Insurance companies of South Korea