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Moody's upgrades Hanwha Life's credit in nod to global potential

Published: 25 May. 2025, 21:07

YOON SO-YEON
[email protected]

Hanwha Life logo [HANWHA LIFE]

Moody's Ratings raised Hanwha Life's credit rating, citing the firm's consistent sales of a large volume of products and increased returns.

The global credit rating agency upgraded the insurance financial strength rating of Korea's second-largest life insurer one notch to A1, its fifth highest grade, and changed its outlook for the company from stable to positive, according to a press release Sunday.

“The upgrade of Hanwha Life's ratings reflects its improved product mix and distribution capabilities, supported by consistent growth in sales of protection products via its general agency [GA] subsidiary and a gradual decline in high-guaranteed rate policies,” Moody's wrote in a report. “We expect Hanwha Life to maintain its favorable product mix shift and strong distribution capabilities over the next 12-18 months.”

The Moody's rating is now on par with that of Fitch Ratings, which raised Hanwha's credit earlier this month. It also follows bumps from major domestic agencies: Korea Investors Service, Korea Ratings and NICE Investor Service.

“The fact that Hanwha Life's credit rating was raised by not only the three major Korean raters, but also Moody's and Fitch shows that Hanwha Life's excellent profitability and stable fiscal soundness have been proven on a global scale,” the company said in a press release.

“We will endeavor to continue our efforts to provide credible business to both our customers and investors, from in and outside of Korea, as an insurance company that leads Korea in the global market.”

BY YOON SO-YEON [[email protected]]