Hannover Re reports year-to-date premiums of 10.5 billion euros

Hannover Ruck SE released Tuesday its financial results for the first nine months of 2013, reporting group net income of €613 million on gross written premiums of €10.5 billion.

As of Monday, a euro was worth $1.41.

The largest single loss event for Hannover Re was hailstorm “Andreas” in Germany, which resulted in a net loss of €64 million for Hannover Re’s account.

AIR Worldwide reported last August that hail events July 27-28 in northern Germany produced hailstones up to 12 cm in diameter and damaged about 100,000 buildings, resulting in broken windows and roller shutters, broken roofs tiles and perforated siding.

Hannover Re stated Nov. 5 that its total major loss expenditure as of Sept. 30 was €446.7 million.

“While this is substantially higher than the figure for the comparable period (in 2012), it is still in line with the loss expectancy for the first nine months of the current year,” Hannover Re stated.

Hannover Re’s combined ratio in non life was 95%.

During the most recent quarter, Hannover Re reported group net income of €205 million on gross written premiums of €3.3 billion. During the same period in 2012, Hannover Re had reported group net income of €265.5 million on gross written premiums of €3.41 billion.

“The intensely competitive climate in non-life reinsurance is likely to be sustained, with corresponding implications for prices and conditions,” the company stated. “Nevertheless, the market should be able to respond to losses with rate increases. With this in mind, the company will continue to trust in systematic cycle management coupled with rigorous underwriting discipline.”

The firm anticipates “growth opportunities” in non-life reinsurance due in part to a “rising concentration of values in urban conurbations.” Hannover Re added that “the adoption of risk-based solvency systems in Europe and Asia hold the promise of stable demand for reinsurance protection.”