Munich Re Group is a reinsurance company
based in Munich, Germany. It is one of the world’s leading reinsurers. ERGO, a
Munich Re subsidiary, is the Group’s primary insurance arm.
Munich Re’s shares are listed on all German stock exchanges and on the Xetra
electronic trading system. Munich Re is included in the DAX index at the
Frankfurt Stock Exchange, the Euro Stoxx 50, and other indices.
History In 1880, Carl von Thieme, a native of
Erfurt, whose father was the director of Thuringia, founded Münchener
Rückversicherungs-Gesellschaft together with Wilhelm von Finck and Theodor von
Cramer-Klett. This was followed by the founding of Allianz
Versicherungs-Gesellschaft in 1890. Carl von Thieme was head of Munich Re until
1921, and Wilhelm von Finck served as Chairman of the supervisory board until
1924. Munich Re became renowned after the San Francisco earthquake of 1906 as
the only insurer that remained solvent after paying out all the claims.
In 2014 the company’s equity amounted to €30.3 billion. The group’s premium
income for the year was €48.8 billion, with its consolidated result amounting
to €3,171 million. In February 2010, U.S. investor Warren
Buffett became Munich Re’s largest single shareholder with 11.2 percent of
the company. As of September 2015 he holds 9.7 percent of the company through
Berkshire Hathaway Inc. and National Indemnity Company.
Structure Besides its reinsurance business, the
Munich Re Group also transacts primary insurance business through the ERGO
Group, and, since 1999, asset management through MEAG.
=Reinsurance=Munich Re has clients worldwide. It
assumes part of the risk covered by these insurance companies, as well as
providing comprehensive advice on insurance business. In addition to its
Munich head office, Munich Re has more than 50 Business Units around the world.
Munich Re provides reinsurance cover for life, health, casualty, transport,
aviation, space, fire and engineering business. In 2014, gross premiums
written in the reinsurance segment amounted to around €26.8bn.
=Primary insurance: ERGO Group=Munich Re’s primary insurance operations
are mainly concentrated in the ERGO Insurance Group. ERGO writes all types
of life and health insurance and most types of property and casualty
insurance. Outside Germany, ERGO is present in more than 30 countries around
the world, servicing around 35 million clients. Members of the ERGO Group
include the insurance subsidiaries D.A.S., DKV and Europäische
Reiseversicherung AG, and the IT service provider ITERGO. With a gross premium
written of about €16.7bn in 2014, ERGO is Germany’s second-largest primary
insurance group following Allianz AG.=Asset management=
Founded in 1999, MEAG MUNICH ERGO AssetManagement GmbH manages the assets
of Munich Re, ERGO, and external clients. Their purpose is to manage and
increase investments of Munich Re and ERGO and third parties. MEAG manages
Munich Re’s global investments amounting to €227bn.
=Munich Health=Until the end of 2009 this segment of
the company was under reinsurance and primary insurance however since the
beginning of 2010 it is the company’s fourth major division. It oversees all
of the group’s health reinsurance, health primary insurance business as
well as managed care services business abroad.
Munich Health Reinsurance coupled with MedNet, managed care services arm of
Munich Health, have been distinguished by MENA Insurance Award, MENAIR, as
“Most Innovative Reinsurer for the year 2015″ and “TPA of the year 2015”.
Ownership Berkshire Hathaway Inc.
BlackRock, München 11.6% of the share capital are
attributable to Warren E. Buffett and are held by several companies of his
group. According to the notification dated 15.10.2010 the investment serves
the purpose of making trading profits and not of implementing strategic
objectives. Free float is stated to be nearly 90%,
with around 178,000 shareholders. Shareholder profile:
Institutional investors Private shareholders
Investment companies Insurance companies
Banks Most shareholders are located in North
America, followed by Germany, other European countries, UK, other countries.
=Subsidiaries=Munich Reinsurance America
American Modern Insurance Group Key figures
Accounts prepared according to IFRS. References
^ a b c d e f g h i “Annual Report 2014”. Munich Re. Retrieved 10 April
2015. ^ Aglionby, John. “Munich Re pilots
Jakarta flood policy”. Financial Times. Retrieved 2009-05-09.
^ “Warren Buffett now Munich Re’s biggest shareholder”. Finanz
Nachrichten. AFX News. 12 February 2010. Retrieved 17 November 2011.
^ a b c “Shareholder Profile”. Munich Re. Retrieved 10 April 2015.
External links Official website
Topics Online − Re Magazine for Insurers Yahoo! – Münchener
Rückversicherungs-Gesellschaft Aktiengesellschaft Company Profile