Hanwha Life Insurance's credit rating has been upgraded by the global credit rating agency Moody's. This upgrade follows consecutive rating increases this year from Korea's three major credit rating agencies—Korea Ratings, Korea Investors Service, and NICE Investors Service—as well as from the global agency Fitch, solidifying Hanwha Life's enhanced external credibility.
Moody's has raised Hanwha Life's credit rating from 'A2' to 'A1', while maintaining a 'Stable' outlook. This ratings upgrade from Moody's reflects Hanwha Life's strong profitability and stable capital adequacy, underpinned by its exceptional market position.
Moody's commented, "Hanwha Life is generating high insurance contract margins (CSM) by expanding the sales of protection-type products, leveraging its strong brand recognition and sales capabilities. The company is improving its product portfolio towards profitability, supported by Hanwha Life Financial Service, the largest general agent (GA) in Korea with outstanding sales prowess."
Additionally, Moody's noted, "Despite tighter capital regulations and falling interest rates, Hanwha Life has maintained stable capital adequacy through effective asset-liability management (ALM). By consistently generating new contract CSM and expanding long-term bond investments, the company is minimizing duration gaps and is expected to maintain a stable risk-based capital ratio (K-ICS) in the face of future interest rate risks."
A Hanwha Life official stated, "The upgrade from both domestic and global credit rating agencies, including Moody's and Fitch, demonstrates that Hanwha Life's excellent profitability and stable financial health are recognized as competitive even in the global market. As a representative global insurance company from Korea, we will continue to strengthen trust with both our customers and international investors."
