talanx group annual report 2011 en
talanx group annual report 2011 en
talanx group annual report 2011 en
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158<br />
Financial statem<strong>en</strong>ts Notes<br />
G<strong>en</strong>eral information<br />
Talanx Group. Annual Report <strong>2011</strong><br />
Accounting principles<br />
and policies<br />
Segm<strong>en</strong>t <strong>report</strong>ing<br />
Segm<strong>en</strong>t <strong>report</strong>ing Consolidation,<br />
business combinations<br />
Non-curr<strong>en</strong>t assets held for<br />
sale and disposal <strong>group</strong>s<br />
Id<strong>en</strong>tification of <strong>report</strong>able segm<strong>en</strong>ts<br />
The <strong>report</strong>able segm<strong>en</strong>ts were determined in accordance with the internal <strong>report</strong>ing and managem<strong>en</strong>t<br />
structure of the Group, on the basis of which the Group Board of Managem<strong>en</strong>t regularly<br />
assesses the performance of the segm<strong>en</strong>ts and decides on the allocation of resources to the segm<strong>en</strong>ts.<br />
The Group splits its business activities into the areas of insurance and corporate operations.<br />
The insurance activities are further subdivided into five <strong>report</strong>able segm<strong>en</strong>ts; in view of the differ<strong>en</strong>t<br />
product types, risks and capital allocations, a differ<strong>en</strong>tiation is initially made betwe<strong>en</strong> primary<br />
insurance and reinsurance.<br />
Since they are managed according to customer <strong>group</strong>s and geographical regions (domestic versus<br />
international) – and therefore span various lines of business – insurance activities in the primary<br />
sector are organised into three <strong>report</strong>able segm<strong>en</strong>ts: “Industrial Lines,” “Retail Germany” and “Retail<br />
International.” This segm<strong>en</strong>tation also corresponds to the responsibilities of the members of the<br />
Board of Managem<strong>en</strong>t.<br />
Reinsurance business is handled solely by the Hannover Re Group and is divided into the two segm<strong>en</strong>ts<br />
Non-Life Reinsurance and Life/Health Reinsurance in accordance with that <strong>group</strong>’s internal<br />
<strong>report</strong>ing system. In a departure from the segm<strong>en</strong>tation used in the <strong>group</strong> financial statem<strong>en</strong>ts<br />
of Hannover Re, however, we allocate that <strong>group</strong>’s holding functions to its Non-Life Reinsurance<br />
segm<strong>en</strong>t. By contrast, cross-segm<strong>en</strong>t loans within the Hannover Re Group are allocated to the two<br />
reinsurance segm<strong>en</strong>ts in the consolidated financial statem<strong>en</strong>ts of the Talanx Group (in the consolidated<br />
financial statem<strong>en</strong>ts of Hannover Re these loans are shown in the consolidation column).<br />
Deviations betwe<strong>en</strong> the segm<strong>en</strong>t results for reinsurance business as pres<strong>en</strong>ted in the consolidated<br />
financial statem<strong>en</strong>ts of Talanx AG and those <strong>report</strong>ed in the financial statem<strong>en</strong>ts of Hannover Re<br />
are thus unavoidable.<br />
The area of Corporate Operations constitutes another <strong>report</strong>able segm<strong>en</strong>t. Altogether, th<strong>en</strong>, the<br />
Group has id<strong>en</strong>tified six <strong>report</strong>able segm<strong>en</strong>ts in conformity with IFRS 8 “Operating Segm<strong>en</strong>ts.” The<br />
major products and services with which these <strong>report</strong>able segm<strong>en</strong>ts g<strong>en</strong>erate income are set out<br />
below.<br />
Industrial Lines: In the Industrial Lines segm<strong>en</strong>t we <strong>report</strong> worldwide industrial business as an<br />
indep<strong>en</strong>d<strong>en</strong>t segm<strong>en</strong>t. The scope of business operations <strong>en</strong>compasses a wide selection of insurance<br />
products such as liability, motor, accid<strong>en</strong>t, fire, marine, special lines and <strong>en</strong>gineering insurance for<br />
large and mid-sized <strong>en</strong>terprises in Germany and abroad. In addition, reinsurance is provided in<br />
various classes of insurance.<br />
Retail Germany: Insurance activities serving German retail and commercial customers that span<br />
the various lines of business, including bancassurance business transacted Germany-wide – i.e.<br />
insurance products sold over the counter at banks – are managed in this <strong>report</strong>able segm<strong>en</strong>t. In<br />
addition to traditional composite insurance products, numerous life insurance products are offered<br />
in the form of individual, <strong>group</strong> and collective policies for a single or regular premium: <strong>en</strong>dowm<strong>en</strong>t,<br />
annuity and term life insurance, accid<strong>en</strong>t insurance, unit-linked life insurance, occupational disability<br />
and strict “any occupation” disability insurance, foreign travel insurance and occupational<br />
p<strong>en</strong>sion insurance.