Intro

The Korean economy is experiencing a slump due to global business slowdown and decline 

of investment and export. In addition, slowdown of real economy and anxiety of the financial market 

are increasing with the long-term trade dispute between the United States and China and export 

restrictions of Japan. Especially, the market rate has rapidly decreased to the all-time low rate 

because of increased external uncertainties.

Uneasy internal and external conditions are causing adverse effects on the growth, profitability 

and financial situations of domestic insurance companies. The insurance industry is concerned 

to face a greater crisis if the ultra-low interest rate continues with the decline of potential growth rate. 

Low interest rate leads to poor growth and profitability of the insurance industry.

Decreasing interest rate would cause further decline of sales incentive by decreasing disclosed 

interest rate of saving insurances. Sales of coverage insurances is likely to decline in the long run 

due to the increase of insurance premium caused by the reduction of expected interest rate. 

Original insurance premium of the insurance industry has shown negative growth for 

two consecutive years since 2017 due to the decrease of sales of saving insurances 

and slowdown of growth of coverage insurances. Moreover, profitability of the insurance industry 

will inevitably worsen with the expansion of secondary reverse margin, expansion of legal reserve 

and variable insurance guarantee reserve, and expansion of issuance of equity securities.

Accordingly, Financial News and Korea Insurance Research Institute are jointly hosting the 12th Global 

Insurance Symposium on the theme of  'Global Economic Uncertainty and The Risk of Insurance Industry'

to diagnose the crisis of the insurance industry caused by global economic uncertainties and to discuss 

the survival strategy of insurance companies in the low growth, low interest rate environment. 

At this symposium, we are going to take a look at the difficulties faced by insurance companies 

in the past when global economic slowdown and low interest rate occurred. 

Current status of the economy and insurance industry will be reviewed separately for overseas 

and South Korea. By coming up with management strategies of insurance companies for survival 

in the low growth, low interest environment divided into insurance product, sales channel, 

asset management and risk management strategies, we plan to also discuss the policy directions 

for financial authorities.

Thank you.

 

 

 

Overview

Title : The 12th Global Insurance Symposium

Theme : Global Economic Uncertainty and The Risk of Insurance Industry

Date : October 23rd(Wed), 2019    09:00 ~ 15:30

Venue : GrandBallroom, Westin Chosun Hotel, Seoul

Host : The Financial News, Korea Insurance Research Institute

Sponsor :      Financial Services Commission, Financial Supervisory Service, 

                        Korea Deposit Insurance Corporation, Korea Life Insurance 

                        Association, General Insurance Association of Korea, 

                        Korea Insurance Development Institute 

Contact : The 12th Global Insurance Symposium Bureau
                  Tel. 02-6965-0012, 0013   E-mail. 8amwon@fnnews.com