The delinquency ratio of household loans at Korean insurers edged up in August from the previous month amid the slowing economy, the financial regulator said Tuesday.
The average delinquency ratio of household loans extended by local life and non-life insurers came in at 0.56 percent at the end of August, up 0.02 percentage point from a month earlier, according to the Financial Supervisory Service (FSS).
The figure is based on principal repayments that are at least one month overdue.
The corresponding ratio for home-backed loans, which exclude credit loans, climbed to 0.68 percent, up 0.07 percentage point over the cited period, the FSS said.
The delinquency ratio of corporate loans also rose 0.05 percentage point to 1.46 percent on-month as of end-August. The average delinquency ratio for both home and corporate loans stood at 0.85 percent, up from 0.82 percent as of the end of July.
Meanwhile, the amount of insurer loans reached 108.4 trillion won ($98.8 billion) as of end-August, up 0.42 percent from the previous month, the regulator added.
The FSS said there is a slim chance that insurers' loans will turn sour as they were extended upon the borrowers' insurance contracts, but it will continue to keep tabs on their progress. (Yonhap)