Hannover Rueck SE · XETR:HNR1
Hannover Rueck — Hannover Re — Investor Presentation (July 2005)
17 slides from Hannover Rueck's investor presentation, Jul 1, 2005
Slide 1: The New Strategy Paper
The New Strategy Paper Wilhelm Zeller Chairman of the Executive Board & Chief Executive Officer 0 Hannover, 1 July 2005
Slide 2: Synopsis of Hannover Re's Strategy: Strategic Objectives and Principles
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version Strategic Objectives And Strategic Objectives And Strategic Objectives And Principles Principles Principles Our paramount strategic objective is to Our paramount strategic objective is to We seek to gener
Slide 3: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version of capital substitutes (transfer of risks to the capital market as well as conventional retrocessions). We strive to maintain a rating from the most • Rating: S&P AA- and A.M. Best A relevant rating agenc
Slide 4: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version identify geographical, line-of-business and geographical, line-of-business and product product priorities, which take precedence priorities that take precedence in resource in the management of the alloca
Slide 5: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version our business processes and, after cost/ business processes and, after cost/benefit benefit consideration, are in line with the considerations, reflect state-of-the-art development of state-of-the-art tech
Slide 6: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version At regular intervals the Executive Board our Intrinsic Value Creation (IVC) system. examines the risk situation, in order to take necessary action. Our risk management system encompasses • Comprehensive r
Slide 7: Special Features of the four strategic business groups
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version Special Features of the four Special Features of the four Special Features of the four strategic business groups strategic business groups strategic business groups A. Property and casualty reinsurance A.
Slide 8: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version see below (allocation of resources) Based on their above-average profit • Priority for: potential, the US and German markets, - USA worldwide natural catastrophe business and - Germany all special and nic
Slide 9: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version investment conflicts. Services to third parties, i.e. clients or brokers, Services Services which are separate from and go beyond Services to third parties, i.e. clients or brokers, • Only where unavoidab
Slide 10: Life and health reinsurance
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version B. Life and health reinsurance B. Life and health reinsurance B. Life and health reinsurance Strategic objective Strategic objectives Strategic objectives Through an internationally diversified By the end
Slide 11: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version We cultivate long-term client relationships From the global perspective, our target - Small to mid-sized “niche insurers” and co-operate with our clients on a clientele consists of small to mid-sized - Ma
Slide 12: Financial reinsurance
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version C. Financial reinsurance C. Financial reinsurance C. Financial reinsurance Strategic objective Strategic orientation Strategic orientation In the highly developed markets, the Progressive concentration, a
Slide 13: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version companies draws upon state-of-the-art companies draws upon state-of-the-art methods of risk and capital management methods of risk and capital management. and prioritizes their company’s long-term develop
Slide 14: Program business
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version D. Program business D. Program business D. Program business Strategic objective Strategic objective Strategic objective Building upon our already very strong This business group is a specialty form of • N
Slide 15: Synopsis of Hannover Re's Strategy
Synopsis of Hannover Re’s Strategy 2002 Version 2005 Draft Version Condensed 2005 Draft Version Reinsurance In the case of non-retained programs, the high degree of reinsurance produces substantial recoverables from reinsurers. Through the development and constant up- dating of suitable criteria for
Slide 16: 10 Years HNR1: We Tripled the Value
Market capitalization 10 YEARS HNR1: WE TRIPLED THE VALUE 10 years HNR1 All-time high € 43.27 30 Nov 2004 € 27.18 in € market cap € 3,278 m. 45,00 45.00 IPO @ DEM 75.00 28 Jun 05 € 31.35 market cap € 1,116 m. mkt cap € 3.781 m. 9/11 € 14.34 30,00 30.00 All-time low DEM 47.00 market cap € 699 m. 15,0
Slide 17: Target Matrix
How to measure our success under the revised strategy? TARGET MATRIX Several new metrics have entered our "scorecard" Historical data Business Group Key figures Target 2004 2003 2002 Property/Casualty R/I Gross-premium growth none (14.4%) (20.5%) 21.9% 1) Combined ratio - assuming a ≤ 100% 97.0% 96.