SEOUL– A leading North Korean insurance company reported a 16.8 percent drop in its net profit last year due to massive spending on flood damage coverage, corporate data showed Sunday.
The annual net income of the Korea National Insurance Corp. (KNIC) decreased 16.8 percent to 6.53 billion won (US$5.46 million) in 2020 from 7.85 billion won a year earlier, according to the data posted on the firm’s website.
The KNIC’s total revenue came to 48.63 billion won with combined costs of 38.95 billion won, the data showed. It paid 3.15 billion won as a sort of tax.
The insurer, founded in 1947, said heavy rains, floods and typhoons in August and September last year caused huge damage and led to big losses in the insurance industry.
By sector, the annual net profit in non-life insurance stood at 3.37 billion won. Net profit from the investment sector came to 1.24 billion won, down 30.4 percent on-year from 1.78 billion won.
Life insurance increased to 6.77 billion won last year from 6.19 billion won in 2019.
Source: Yonhap News Agency