DGAP-News: Hannover Rück SE / Key word(s): Forecast
Hannover Re subsidiary anticipates premium growth in the German market
24.10.2016 / 13:30
The issuer is solely responsible for the content of this announcement.
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Press Release
Hannover Re subsidiary anticipates premium growth in the German market
Baden-Baden, 24 October 2016: E+S Rück - which bears responsibility within
the Hannover Re Group for German business - expects to see premium growth
in the German market for the upcoming treaty renewals as at 1 January 2017.
Along with motor insurance, growth will likely be driven in particular by
homeowners' comprehensive insurance, where premium increases are necessary
on account of the unsatisfactory business development.
"In view of the ongoing low interest rate environment the insurance
industry will continue to be put to the test, which is why technical
pricing is equally important for insurers and reinsurers alike", Mr.
Michael Pickel, a member of the company's Executive Board, emphasised at a
press conference held during the Reinsurance Meeting in Baden-Baden. With
this in mind, the current low level of interest rates offers little room
for concessions over insurance conditions.
In the motor line there is a need for premium adjustments given that
results for the current year will at most break even owing to the higher
average claims amount. E+S Rück therefore anticipates improvements in
conditions for the treaty renewals as at 1 January 2017.
In natural perils business regional customer portfolios were significantly
hit, above all by heavy rainfalls. "This will probably prompt some
customers to adjust their reinsurance requirements, thereby further
boosting demand for capacity", Mr. Pickel explained.
Growing demand for cyber policies should also have favourable implications
for E+S Rück. A sharp surge in interest is particularly likely in the
commercial sector on account of recent developments. The company sees
further potential for reinsurance business as a result of the influence of
FinTechs on the insurance market; here, too, E+S Rück is a partner of
choice thanks to its good financial strength rating and consulting
expertise.
All in all, for 2017 E+S Rück anticipates further business opportunities in
Germany and considers itself well on track to maintaining its market share
on a high level going forward.
Hannover Re, with gross premium of around EUR 17 billion, is the third-
largest reinsurer in the world. It transacts all lines of property &
casualty and life & health reinsurance and is present on all continents
with around 2,500 staff. Established in 1966, the Hannover Re Group today
has a network of more than 100 subsidiaries, branches and representative
offices worldwide. The Group's German business is written by the subsidiary
E+S Rück. The rating agencies most relevant to the insurance industry have
awarded both Hannover Re and E+S Rück very strong insurer financial
strength ratings: Standard & Poor's AA- "Very Strong" and A.M. Best A+
"Superior". In 2016 Hannover Re celebrates its fiftieth anniversary.
Please note the disclaimer:
https://www.hannover-re.com/535917
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24.10.2016 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
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Financial/Corporate News and Press Releases.
Archive at www.dgap.de
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Language: English
Company: Hannover Rück SE
Karl-Wiechert-Allee 50
30625 Hannover
Germany
Phone: +49-(0)511-5604-1500
Fax: +49-(0)511-5604-1648
E-mail: info@hannover-re.com
Internet: www.hannover-re.com
ISIN: DE0008402215
WKN: 840 221
Indices: MDAX
Listed: Regulated Market in Frankfurt (Prime Standard), Hanover;
Regulated Unofficial Market in Berlin, Dusseldorf,
Hamburg, Munich, Stuttgart, Tradegate Exchange; Luxemburg
End of News DGAP News Service
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513571 24.10.2016
DGAP-News: Hannover Re subsidiary anticipates premium growth in the German market
| Source: EQS Group AG