Munich Re is aiming for a consolidated profit of around €4 billion for the 2023 financial year under the new reporting standard IFRS 17.
Insurance revenues, which represent the IFRS 17 item that will supersede “premiums” in future, are expected to reach around €58 billion. It is anticipated that the return on investment will amount to at least 2.2%.
Munich Re anticipates insurance revenues of about €39 billion and a profit of around €3.3 billion in 2023.
The combined ratio in property-casualty reinsurance is likely to improve significantly to around 86%, mainly owing to the disclosure method per IFRS 17 compared to the method under IFRS 4.
All forecasts and targets face increased uncertainty owing to fragile macroeconomic developments, volatile capital markets and the unclear future of the pandemic.
In particular, there continues to be considerable uncertainty regarding the financial impact of the Russian war of aggression in Ukraine.
The projections are subject to major losses being within normal bounds, and to the income statement not being impacted by severe fluctuations in the currency or capital markets, significant changes in the tax environment, or other one-off effects.
Munich Re announced it has decided to establish an additional Board division. With effect from 1 January 2023, various primary insurance businesses of the Group that are part of the reinsurance segment will be managed together in a new Global Specialty Insurance division.
The division will be headed by Michael Kerner, who was newly appointed to the Board of Management by the Supervisory Board effective 1 January 2023. ERGO is not affected by the changes.
by Yana Keller