Samsung Life CEO Hong Won-hak is restructuring the life insurance business model to focus on long-term health and asset management, driven by artificial intelligence and an aging population. This shift moves the industry away from traditional post-accident payouts toward real-time risk prevention, a critical pivot as low birth rates shrink the traditional customer base.
Shifting from payouts to prevention
Historically, life insurance underwriting relied on average demographic data to price risk and pay claims after an incident. Hong said AI changes this by analyzing individual health status, consumption patterns, and financial activities in real time.
This capability allows insurers to focus on preventing incidents rather than just covering them. Integrating wearable devices and health data with AI for Healthcare enables companies to monitor customer health and intervene before disease occurs.
Hong's vision centers on a fundamental question: "How far can insurance truly take responsibility for people's lives?" He argues that this technology is no longer optional, but a survival strategy for modern insurers.
Merging life and non-life insurance data
Hong's leadership experience spans both Samsung Life and Samsung Fire, giving him a distinct view on combining long-term asset management with immediate risk management. This dual perspective allows him to bridge the operational gap between the two distinct sectors.
By integrating customer data across both entities, the company can offer cross-category services. For example, auto insurance customers can receive tailored health insurance recommendations, while health policyholders gain access to asset management tools.
Hong sees insurance fundamentally as a data business. The combined information on health, assets, and risk provides the foundation for personalized services that legacy models cannot deliver.
Financial performance and market challenges
Samsung Life recorded a consolidated net profit of 1.2036 trillion won in the first quarter of 2026, an 89.5% increase from the same period last year. The company reported retained contract service margin of 13.6 trillion won and managed assets totaling 265 trillion won, maintaining a solvency ratio of 210%.
Despite this growth, the company faces structural headwinds. South Korea's low birth rate is shrinking the pool of new policyholders, while big tech companies and stricter capital regulations threaten to disrupt traditional market dynamics.
Hong has also maintained human capital, expanding the exclusive agent network to approximately 44,400, a net increase of over 1,500 this year. This suggests the company is attempting to balance digital modernization with traditional sales channels.
Why this matters for insurance professionals
Underwriters, actuaries, and product managers must prepare for a shift from reactive claims processing to proactive risk assessment. As AI models begin analyzing individual behavioral and health data, professionals will need to develop skills in data interpretation to succeed in an AI for Insurance environment.
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