Annual Report 2011 - R+V Versicherung

14
Overview of the business development of R+V Versicherung AG
PREMIUMS WRITTEN
EUR million
1,600
1,200
800
400
0
741 716
885 856
TOTAL BUSINESS NON-LIFE
1,147 1,101
1,371 1,329
2007 2008 2009 2010
Gross premiums written Net premiums written
1,492 1,459
2011
2009 2010 2011
Reported gross loss ratio 73.9 77.5 80.2
Gross expenses ratio 26.4 25.1 25.1
Gross combined ratio 100.3 102.6 105.3
A high number of weather-related disasters and the extreme
cumulation of major earthquakes led to 2011 being the year
with the highest overall losses from natural disasters to date.
Although a smaller number of approximately 820 natural disasters
was registered than in the previous year, the overall
financial losses of approximately 380 bn US dollars worldwide
were almost two thirds higher than in 2005, the most loss intensive
year to date. Particularly the earthquakes in Japan and
New Zealand, the series of tornados in the USA, the floods in
Brisbane/Australia and Thailand as well as cyclone Yasi in Australia
impacted on R+V Versicherung AG. Also Hurricane Irene,
which devastated the Eastern seaboard of the USA, put pressure
on the result. In total, the gross major loss charges (losses
> 3.0 m euros) as at 31 December 2011 were 376.4 m euros
which corresponded to 25.2% of gross premiums. The reported
gross loss ratio amounted in the reporting year in the non-life
segment to 80.2% (2010: 77.5%). As a result, the combined
gross loss/expenditure ratio in this business segment was
105.3% compared with 102.6% in the previous year.
Prior to the change in the equalisation provision and similar
provisions, the technical result for total business fell by 59.7 m
euros in the reporting year to - 96.0 m euros (2010: - 36.3 m
euros). The equalisation provision and similar provisions were
reinforced by an allocation of 98.7 m euros (2010: 10.4 m
euros) resulting in an own account technical result of
- 194.7 m euros (2010: - 46.7 m euros).
The result from capital investments amounted to 342.8 m
euros in the reporting year (2010: 273.7 m euros). This was
indirectly marked by the profit and loss transfer agreements
with the two large group companies R+V Lebensversicherung
AG and R+V Allgemeine Versicherung AG. Furthermore, the
capital investments result includes dividends from R+V Luxembourg
Lebensversicherung S.A.
The balance from other income and other expenditure improved
to - 6.3 m euros (2010: - 7.2 m euros).
Extraordinary expenditure of 2.6 m euros resulted from a
changed valuation of pension obligations in the previous year
in the context of the BilMoG.
After taking tax expenditure of 40.7 m euros into account
(2010: 40.3 m euros), a net income of 95.2 m euros remained
for the year (2010: 176.3 m euros).
Business developments in the individual classes
Life
Gross premium income at previous year’s level
The active writing of life reinsurance business was discontinued
in 2004. The extension of the portfolio in 2011 to 7.8 m
euros is attributable on the one hand to the restructuring of
the takeover by Assimoco Vita and, on the other hand, to the