A recent AM Best report forecasts moderate growth for South Korea’s insurance sector over the next 12 months. Insurers are expected to place a stronger emphasis on profit management for long-term policies. However, challenges persist in the non-life segment, notably:
Slow growth in motor insurance, due to market saturation and pricing pressures.
Weakening underwriting profitability, as competition and rising claims costs strain margins.
These factors together create capital pressures for non-life insurers. Companies will need to balance growth with disciplined underwriting and careful expense control to maintain solvency and shareholder returns.
Cambodia: Gross Premiums Rise on Strong Life and General Insurance Demand
In April 2025, Cambodia’s insurance market recorded a 6.6% year-on-year increase in gross premiums, reaching $27.3 million. This growth was driven by both life and general lines:
Life insurance premiums grew 9.8% to $16.3 million.
The number of life insurance policies surged 57%, totaling 104,304 policies.
Insurers attribute this expansion to rising consumer awareness, higher household incomes, and greater trust in insurers. As more Cambodians seek protection for life events and assets, insurers are developing tailored products to capture untapped segments, such as rural and younger demographics.
Australia: Consumer-Centric Code of Conduct in the Works
The Insurance Council of Australia, alongside major insurers, announced plans to redraft the General Insurance Code of Conduct. Stakeholders reported that current regulations are hard to understand and do not reflect modern challenges. Key goals for the updated code include:
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Shifting to a consumer-centric framework that is clear and enforceable.
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Addressing digital distribution, evolving product complexity, and heightened expectations around service standards.
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Ensuring contractual terms are accessible and understandable to all policyholders.
Consultation with consumer groups, regulators, and industry participants is ongoing. The revised code aims to be operational by late 2025, reinforcing trust in the Australian insurance market.
Corporate Restructuring and Strategic Investments
Dai-ichi Life HD Acquires 15% Stake in M&G
Dai-ichi Life Holdings announced it will acquire approximately 15% equity in European asset manager M&G. Under the arrangement:
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M&G becomes Dai-ichi Life’s preferred asset management partner in Europe.
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Dai-ichi Life aims to generate at least $2 billion of new business over the next five years through this and other partnerships.
This move aligns with Dai-ichi Life’s strategy to diversify its investment capabilities and tap into global asset management expertise, supporting its pension and annuity business.
Sompo Japan Insurance’s Improvement Plan After Data Breach
Sompo Japan Insurance submitted a business improvement plan to Japan’s Financial Services Agency (FSA) following a client information breach. The insurer expressed regret for the “inconvenience and concern” caused to clients and stakeholders. The plan outlines:
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Enhanced data security protocols.
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Stricter access controls for client records.
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Regular audits and staff training to prevent future lapses.
Sompo Japan said it will cooperate fully with the FSA and accelerate its IT modernization roadmap to strengthen customer trust.
Regulatory Action in Australia: ASIC Sues Choosi Pty Ltd
The Australian Securities and Investments Commission (ASIC) has filed a lawsuit against Choosi Pty Ltd, an online insurance comparison provider. ASIC alleges that Choosi made false and misleading statements by claiming to compare a wide range of funeral and life insurance products. In reality, ASIC contends, Choosi compared policies from only one insurer, with one exception. Key details include:
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At least 4,225 funeral insurance and 9,478 life insurance policies were affected.
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Choosi received around $61 million in commissions from these sales.
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The investigation dates back to July 1, 2019 and remains ongoing.
ASIC’s action underscores the regulator’s focus on transparency in distribution platforms. If proven, Choosi may face significant penalties, restitution orders, and stricter oversight.
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