Life insurance industry, floats, savings insurance "is" variable insurance '

[Korea gimmingyeong financial newspaper reporter] For this spring and life insurance companies have successively introduced a variable insurance product. IFRS17 ahead of the introduction to the spiral in risk management.

Many insurers have an ever increasing proportion of savings-type insurance sales in the 'petite called "means. But that has promise and sell high-interest savings insurance fits the aftermath of prolonged low interest rates and IFRS17 (New International Financial Reporting Standards) has been introduced as a direct hit on the back of fiscal insurers.

Once the implementation is changed IFRS17 liability of the insurer (insurance payable) is evaluating ways to market at current cost. The interest rate to reflect the time of registering to calculate liabilities under insurance and so increase the burden. Eventually losing the equity accounting results in the conclusion that debt is bound to increase significantly.

The low interest rates to be bigger margin inverse risk of prolonged insurers regarded as a cause of reduced savings insurance. Insurers customer dolryeojwoya put up and when he is entrusted investment premiums due, but will hit bottom As lasts several domestic bond yields also declined year deongdalah asset management returns.

In many insurers have turned to variable product as an alternative to savings insurance.

Variable life insurance product has the advantage that the subscriber is less onerous for insurers because they bear the return fluctuation risk. In fact, insurance companies go off of expenses such as insurance premiums items from the customers paid for the initial variable life insurance. Only a limited amount of some expenses from insurance customers to embellish the actual funds will be invested.

Hanwha Life is a 'hybrid Hanwha Life variable annuity insurance, can join the two types of pension products in one of two recent naenwatda. This insurance can be freely moved between the variable interest rate of the host contract and reserves linked to the rider four times a year.

ING Life launched the "Good Nonpar ING Variable start earning insurance, unless the contract cost. That the customer has paid money we can expect a high return on reserves in accordance with juleodeum that ING is a description of life.

Allianz Life threw Chu Shi Biao in the variable insurance market through the "harmony variable annuity insurance, the minimum pension guaranteed minimum pension reserves and dividend earnings without the guarantee fee at the same time. Even if the fall of the customer investment funds minimum investment of 100 to 130% of the premiums you paid in accordance with the maintenance period starting point pension assurance to significantly reduce the risk of principal loss.



Daily Economic News Finance FNTIMES - commercial reprint, copy, distribute prohibited purposes under the Copyright Act
Copyright ⓒ Korea's Financial News & FNTIMES.com