Kyobo Life Insurance Earns Fitch 'A+' Rating for 14 Consecutive Years, Longest Among Korean Life Insurers

According to The Financial News, Kyobo Life Insurance has maintained a top-tier credit rating for 14 consecutive years from a global credit rating agency.
Kyobo Life Insurance announced on the 21st that Fitch Ratings has affirmed its Insurer Financial Strength (IFS) rating at "A+" and confirmed the rating outlook as "Stable."
Kyobo Life Insurance first obtained the A+ rating in 2013, the first among domestic life insurers, and has maintained this rating for 14 straight years. This is the longest streak among Korean life insurance companies.
In this review, Fitch Ratings cited Kyobo Life Insurance's stronger profitability, solid capital adequacy, and stable market position as the key reasons for maintaining the A+ rating.
Fitch Ratings stated, "Kyobo Life Insurance's profitability is expected to remain solid, supported by improved underwriting results and higher investment returns," adding, "The company is driving earnings growth by managing claims volatility through its face-to-face distribution channel centered on exclusive tied agents."
Profitability indicators have also improved significantly. Based on Fitch's assessment as of the third quarter of last year, Kyobo Life Insurance's return on equity (ROE) reached 20.4%, more than double the 8.9% recorded at the end of 2024. This was attributed to the company's risk management capabilities, which have kept claims volatility stable by carefully managing risks from the policy subscription stage through its exclusive tied-agent channel.
Its robust financial soundness has also drawn attention amid changing capital regulations. Fitch Ratings expects Kyobo Life Insurance to maintain a "Strong" level of capital adequacy, backed by a stable contractual service margin for insurance contracts (CSM) and a healthy equity base. As of the third quarter of 2025, the company's solvency margin ratio under the Korean Insurance Capital Standard (K-ICS), after applying transitional measures, stood at a high 205.2%.
In the corporate profile category, the company was rated "Favourable." This reflects a comprehensive assessment of its solid position in the industry, stable distribution channels, and neutral governance structure. As of the third quarter of 2025, Kyobo Life Insurance held around a 14% share of the direct premium market, firmly maintaining its status as one of the "big three" life insurers in Korea.
A Kyobo Life Insurance representative said, "This credit rating once again recognizes in the global market our solid financial structure and proactive risk management capabilities," adding, "We will continue to enhance customer trust and pursue sustainable growth through stable profit generation and agile responses to market changes."
Meanwhile, Kyobo Life Insurance has maintained an "A1 (Stable)" rating for 11 consecutive years from Moody's Corporation. It also continues to hold the highest claims-paying ability rating of "AAA" from Korea Investors Service (KIS), Korea Ratings Corporation, and NICE Investors Service, the three major domestic credit rating agencies.

imne@fnnews.com Hong Ye-ji Reporter