18 slides from Munchener Ruckversicherungs-gesellschaft's earnings presentation, May 8, 2019
Slide 1: Quarterly statement as at 31 March 2019
Quarterly statement as at 31 March 2019 8 May 2019 Christoph Jurecka Image: AdobeStock/LuckyStep
Slide 2: Agenda
Agenda Munich Re (Group) 2 1 ERGO 7 2 3 Reinsurance 11 4 Outlook 16 Quarterly statement as at 31 March 2019 2
Slide 3: Munich Re (Group) – Financial highlights Q1 2019
Munich Re (Group) – Financial highlights Q1 2019 Good start to the year MUNICH RE (GROUP) Q1 2019 (Q1 2018) Net result Technical result Investment result Net result €633m (€827m) €m €m €m Solid underlying performance, 1,796 1,741 positive currency effects and 1,020 low tax expenses 827 642 633 Retur
Slide 4: Munich Re (Group) – Capitalisation
Munich Re (Group) – Capitalisation IFRS capital position Equity €m Capitalisation €bn 0.4 0.4 Equity 31.12.2018 26,500 0.3 Consolidated result 633 4.4 4.2 0.3 0.3 3.9 Changes 2.8 3.7 Dividend 0 Unrealised gains/losses 2,066 Exchange rates 326 Share buy-backs –280 Other –254 13.4 12.6 13.2 12.6 Equit
Slide 5: Munich Re (Group) – Investments: Investment portfolio
Munich Re (Group) – Investments Investment portfolio Investment portfolio1 % Portfolio management in Q1 Land and buildings Fixed-interest securities Increased market values after decline of 4.4 (4.6) 53.8 (53.8) interest rates and strong equity markets Equity quota net of hedges up to 6.0% – der
Slide 6: Munich Re (Group) – Investments: Investment result
Munich Re (Group) – Investments Investment result €m Q1 2019 Return1 Q1 2018 Return1 Regular income 1,611 2.7% 1,493 2.6% Write-ups/write-downs –83 –0.1% –115 –0.2% Disposal gains/losses 602 1.0% 584 1.0% Derivatives2 –231 –0.4% –17 0.0% Other income/expenses –157 –0.3% –149 –0.3% Investment result
Slide 7: ERGO
ERGO Quarterly statement as at 31 March 2019 7
Slide 8: ERGO
ERGO ERGO Gross premiums written €m Major result drivers €m Q1 2018 4,943 Q1 2019 Q1 2018 Technical result 177 132 45 Foreign exchange –22 Non-technical result 64 93 –28 Divestments/investments –28 thereof investment result 1,116 1,184 –68 Organic change 102 Other –156 –147 –9 Q1 2019 4,995 Net re
Slide 9: ERGO Property-casualty Germany
ERGO ERGO Property-casualty Germany Combined ratio % Gross premiums written €m Loss ratio Expense ratio Other Motor 2017 97.5 64.1 33.5 155 (124) 353 (358) 2018 96.0 62.5 33.4 Q1 2019 98.1 64.7 33.4 Legal protection TOTAL Liability 123 (122) €1,349m 277 (260) 101.7 98.1 98.1 94.7 100.3 97.9 92.7
Slide 10: ERGO International
ERGO ERGO International Combined ratio % Gross premiums written €m Property-casualty Life 98.7 94.7 95.6 94.5 95.4 730 (756) 170 (213) TOTAL 95.3 91.5 93.3 €1,300m Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Health 2017 2017 2017 2018 2018 2018 2018 2019 400 (387) Q1 2019 P-C Q1 Q1 Life Q1 Q1 116.0 98.5 102.7 98.9 ther
Slide 11: Reinsurance
Reinsurance Quarterly statement as at 31 March 2019 11
Slide 12: Reinsurance Life and Health
Reinsurance Reinsurance Life and Health Gross premiums written €m Major result drivers €m Q1 2018 2,865 Q1 2019 Q1 2018 Technical result 78 140 –62 Foreign exchange 101 Non-technical result 48 82 –34 Divestments/investments 0 thereof investment result 177 207 –31 Organic change –71 Other 2 –62 64
Slide 13: Reinsurance Property-casualty
Reinsurance Reinsurance Property-casualty Gross premiums written €m Major result drivers €m Q1 2018 5,317 Q1 2019 Q1 2018 Technical result 387 749 –362 Foreign exchange 214 Non-technical result 121 89 32 Divestments/investments –41 thereof investment result 449 404 44 Organic change –6 Other –88 –
Slide 14: Reinsurance Property-casualty – Combined ratio
Reinsurance Reinsurance Property-casualty – Combined ratio % Basic losses Major losses Expense ratio 160.9 2017 114.1 54.8 25.8 33.5 2018 99.4 53.6 11.6 34.2 Q1 2019 97.9 54.8 9.7 33.4 102.0 105.1 103.9 Major Reserve Normalised 100.7 losses Nat cat Man-made releases1 combined ratio2 93.9 97.9
Slide 15: April renewals 2019: Overall portfolio profitability further improved
Reinsurance Overall portfolio profitability further improved – Rate increases in loss-affected business April renewals 2019 % 100 –10.1 89.9 –5.2 25.5 110.3 Price increase of 1.4% – improvement compared €m 1,658 –167 1,491 –86 423 1,828 with January 2019 Change in premium +10.3% renewals Thereof p
Slide 16: Outlook
Outlook Quarterly statement as at 31 March 2019 16
Slide 17: Outlook 2019
Outlook 2019 GROUP Gross premiums written Net result1 Return on investment ~€49bn ~€2.5bn ~ 3% ERGO Combined ratio Gross premiums written Net result P-C Germany International ~€17.5bn ~€0.4bn ~93% ~95% REINSURANCE Combined ratio Life and Health Gross premiums written Net result Property-casualty2 Te
Slide 18: Disclaimer
Disclaimer This presentation contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the a