Translating into Русский. The English version is shown until it is ready.
Over half of Korean insurers' overdue mortgages are 90 days past due
Версия 2: Newsis is added to the coverage, reporting the long-term share of arrears and delinquency rates above 2% at ABL and DB Insurance; the underlying figures are unchanged.
Коротко
Financial Supervisory Service data submitted to People Power Party lawmaker Park Sung-hoon show that 55.8% of overdue mortgage loans at South Korean insurers were 90 days or more past due as of the end of June, up from 49.3% at the end of 2022. The sector's overdue amount fell to 192.1 billion won from 210.5 billion won at the end of 2024 while the delinquency rate held at 0.4%, but insurer-level rates ranged as high as 2.76% at ABL Life and 2.67% at DB Insurance. Park called on authorities to examine the long-term share of arrears and the differences in soundness between insurers.
Читать полностью 2 мин чтения
More than half of the overdue mortgage loans held by South Korean insurers were at least 90 days past due as of the end of June, according to Financial Supervisory Service data submitted to Park Sung-hoon, a People Power Party lawmaker on the National Assembly's Political Affairs Committee. Yonhap reported the sector's mortgage loan balance at 52 trillion won and its delinquency rate at 0.4%. The overdue amount stood at 192.1 billion won, down from 210.5 billion won at the end of 2024. [ 1 ]
The delinquency rate has held between 0.3% and 0.4% since the end of 2022, but Yonhap reported that the character of the arrears is worsening. Of the 192.1 billion won overdue, 107.1 billion won, or 55.8%, was 90 days or more overdue, up 6.4 percentage points from 49.3% at the end of 2022. Arrears of 90 days or more grew 68.1% over that period, from 63.7 billion won. Chosun Ilbo reported that the build-up came as high interest rates persisted over a long period, increasing borrowers' repayment burden; Yonhap's report did not address the cause. [ 1 , 2 ]
Rates vary widely between insurers. ABL Life's mortgage delinquency rate was 2.76%, DB Insurance 2.67%, KDB Life 2.33% and Heungkuk Life 2.25%, against 0.4% for the sector as a whole. Newsis headlined the same contrast, citing the 2%-plus rates at ABL and DB Insurance. DB Insurance's rate rose from 0.33% at the end of 2022, with its overdue amount increasing from 3.4 billion won to 8.2 billion won. Kyobo Life's rate rose from 0.22% to 0.62%, and its overdue amount from 4.9 billion won to 11.6 billion won. [ 1 , 3 ]
Park said the sector's headline delinquency rate “looks fine” on the surface, but that distressed borrowers are not recovering quickly and arrears are becoming long-term. He said authorities need to closely examine the long-term share of arrears and the differences in soundness between insurers. [ 1 ]
Почему это важно
The data show long-term arrears building up at insurers even as the headline delinquency rate stays near 0.4%, a gap the lawmaker who released the figures said warrants closer supervision. The wide spread between individual companies suggests the strain is concentrated in a few insurers' mortgage books, which could draw regulatory attention. The documents state no consequences beyond the call for closer examination.
Ключевые факты
- Insurance-sector mortgage loans totalled 52 trillion won at the end of June, with a delinquency rate of 0.4%, according to FSS data submitted to People Power Party lawmaker Park Sung-hoon. [ 1 ]
- The sector's overdue mortgage amount was 192.1 billion won at the end of June, down from 210.5 billion won at the end of 2024, after peaking at 210.5 billion won that year. [ 1 ]
- Of the total overdue amount, 107.1 billion won, or 55.8%, was 90 days or more past due, up 6.4 percentage points from 49.3% at the end of 2022. [ 1 ]
- Arrears of 90 days or more rose 68.1%, from 63.7 billion won at the end of 2022 to 107.1 billion won at the end of June. [ 1 ]
- Company-level mortgage delinquency rates were 2.76% at ABL Life, 2.67% at DB Insurance, 2.33% at KDB Life and 2.25% at Heungkuk Life, against 0.4% for the sector. [ 1 , 3 ]
- DB Insurance's rate rose from 0.33% at the end of 2022 to 2.67%, with its overdue amount up from 3.4 billion won to 8.2 billion won; Kyobo Life's rose from 0.22% to 0.62%. [ 1 ]
- Lawmaker Park Sung-hoon said the sector's delinquency rate looks fine on the surface but that distressed borrowers are not recovering quickly, and that authorities should examine the long-term share of arrears and differences between insurers. [ 1 ]
Подтверждено несколькими источниками
- More than half of the insurance sector's overdue mortgage loans are 90 days or more past due. [ 1 , 2 , 3 ]
- The total overdue amount has fallen recently while the share of long-term arrears has grown. [ 1 , 2 ]
- ABL Life and DB Insurance have mortgage delinquency rates above 2%, against 0.4% for the sector as a whole. [ 1 , 3 ]
Пока неясно
- Why delinquency rates differ so widely between individual insurers. Yonhap lists the company-level figures but gives no reason for the spread, and no other document addresses it.
- How the arrears developed after the end-June data cut-off, and how many borrowers are involved. All figures are as of the end of June and no document gives borrower counts or later data.
- What caused the build-up in long-term arrears. Chosun Ilbo attributes it to prolonged high interest rates and heavier repayment burdens, while Yonhap's report does not discuss causes, so the explanation rests on a single outlet.
Что пишут местные СМИ
Хронология, местное время
- Yonhap publishes FSS data, submitted to lawmaker Park Sung-hoon, showing insurance-sector mortgage arrears and the long-term share. [ 1 ]
- Chosun Ilbo reports that total overdue mortgage amounts fell but long-term arrears deepened as high rates persisted. [ 2 ]
- Newsis reports that more than half of the arrears are long-term and that ABL and DB Insurance delinquency rates are above 2%. [ 3 ]