Taiwanese insurers' net worth fell more than 50% in H1

The net worth of life insurance companies in Taiwan more than halved in the first six months of the year, marking the largest decline for the first six months of a year on record. According to the Financial Supervisory Commission (FSC), the combined net worth of life insurance companies as of the end of June dropped to TWD1.26tr (USD42.1bn), down 53.88% from TWD2.72tr at the end of 2021. The FSC said it is not concerned about the decrease in life insurers’ net worth and believes the firms face limited liquidity risks, as they on June 30 still had TWD373.2bn in cash and cash equivalents. Local life insurers also face limited credit risks, as 97.77% of the bonds they hold are “investment-grade,” it added.