DB Insurance Co. (005830.KS): Asia Financials Corporate Day Takeaways

Research evidence excerpt

DB Insurance Co. (005830.KS): Asia Financials Corporate Day Takeaways

Equity Research

18 June 2026 | 11:20PM KST

Sinyoung Park

+82(2)3788-1778 |

sinyoung.park@gs.com

Goldman Sachs (Asia) L.L.C., Seoul

Branch

We hosted DB Insurance at our Asia Financial Corporate Day on June 17th, 2026. Given a

weak 1Q print and the Fortegra integration, discussions were centered on underwriting

cycles, reform initiatives and shareholder return.

Modest loss ratio improvements ahead from premium hikes and reform measures

Although claims variance worsened further in 1Q26, management highlighted that 1)

improving persistency trends will help limit negative CSM adjustments and 2) reform

measures to clamp down on excessive claims (i.e., fixing the cost for a 30-min manual

therapy session to W43,850, raising the co-payment rate to 95% and limit frequency

to max 2x per week and 15x per annum; effective from July 2026) and anticipated

premium adjustments will lead to modest loss ratio improvements.

Expecting muted CSM growth but stronger profit upon Fortegra integration

Given revisions to assumption guidelines ahead (i.e., Advanced Actuarial Oversight

Plan announced in Jan2026), DBI expects flattish CSM growth for 2026E. In addition,

management kept a conservative outlook for future CSM growth, citing stagnant

population growth and well-penetrated insurance market. However, according to the

company, the addition of Fortegra, US specialty insurer that showed c90% combined

ratio over the past 5-6 years because of sliding commission structure and posted

+20% CAGR in net profit, will help sustain the bottom-line profit growth.

Plans to update its Value Up plan in 2Q26E

Following the completion of Fortegra acquisition, the company plans to announce an