Although premium hikes for auto insurance and indemnity health insurance are set for 2026, the insurance sector remains pessimistic as modest increases, combined with already elevated loss ratios, are unlikely to deliver a meaningful boost to its profitability, dampening expectations for a swift earnings turnaround, industry officials said Wednesday. After four straight years of cuts, auto insurance premiums are expected to rise for the first time in five years, with financial authorities considering an increase in the low-to-mid 1 percent range. Amid the government’s continued push for “shared growth,” non-life insurers reduced auto insurance premiums for four consecutive years, cutting rates by 1.2 to 1.4 percent in 2022, 2 to 2.5 percent in 2023, 2.1 to 3 percent in 2024 and 0.6 to 1 percent in 2025. At the same time, higher claims per accident and rising costs have put additional pressure on auto insurance loss ratios. Industry data shows that the average auto insurance loss ratio at the four largest non-life insurers — Samsung Fire & Marine Insurance, Hyundai Marine & Fire