Swiss Re non-life renewals up 14% benefiting from attractive market conditions and successful retention of Insurance Solutions business

13 February 2007, Zurich

Swiss Re has grown its non-life reinsurance portfolio by CHF 1.3 billion or 14%, which reflects successful renewals of business acquired through the acquisition of Insurance Solutions combined with Swiss Re's continued focus on underwriting quality.

Michel Liès, Head of Client Markets, comments: "Market conditions remain very favourable. Swiss Re enjoys a leading position in this attractive environment with a focus on delivering economic profits, targeting better-than-average pricing and terms and conditions."

The January renewal season accounts for 67% of the traditional treaty portfolio of Swiss Re and the former Insurance Solutions. Across the combined portfolio, total premium volume grew to CHF 10.3 billion.

In Europe Swiss Re's premiums grew by 8% to CHF 6.1 billion. Lower volumes due to clients retaining more of their own business in this renewal were more than offset by the growth from Insurance Solutions. The American renewal was dominated by strong demand for catastrophe capacity. Swiss Re's overall premiums in the Americas grew strongly to CHF 2.3 billion, up 36%. In Asia, where the January renewal is primarily in the emerging markets, Swiss Re achieved growth of 22%, with premiums of CHF 985 million. Swiss Re was also able to further consolidate its leading position in credit and surety business, growing the portfolio 3% to premiums of CHF 965 million.

Overall Swiss Re retained 70% of Insurance Solutions non-life treaty business in the January renewals. Since Swiss Re's acquisition of Insurance Solutions in June of last year, 75% or CHF 2.0 billion of non-life premiums have been successfully renewed on improved pricing and Swiss Re's strong terms and conditions.

Notes to editors

Swiss Re is the world's leading and most diversified global reinsurer. The company operates through offices in over 30 countries. Founded in Zurich, Switzerland, in 1863, Swiss Re offers financial services products that enable risk-taking essential to enterprise and progress. The company's traditional reinsurance products and related services for property and casualty, as well as the life and health business are complemented by insurance-based corporate finance solutions and supplementary services for comprehensive risk management. Swiss Re is rated "AA-" by Standard, Poor's, "Aa2" by Moody's and "A+" by A.M. Best.

Cautionary note on forward-looking statements

Certain statements contained herein are forward-looking. These statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to a historical fact or current fact. Forward-looking statements typically are identified by words or phrases such as 'anticipate', 'assume', 'believe', 'continue', 'estimate', 'expect', 'foresee', 'intend', 'may increase' and 'may fluctuate' and similar expressions or by future or conditional verbs such as 'will', 'should', 'would' and 'could'. These forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause Swiss Re's actual results, performance, achievements or prospects to be materially different from any future results, performance, achievements or prospects expressed or implied by such statements. Such factors include, among others:

  • the impact of future investments, acquisitions or dispositions, and any delays, unexpected costs or other issues experienced in connection with any such transaction, including the ability to efficiently and effectively integrate the GE Insurance Solutions operations into our own;
  • cyclicality of the reinsurance industry;
  • changes in general economic conditions, particularly in our core markets;
  • uncertainties in estimating reserves;
  • the performance of financial markets;
  • expected changes in our investment results as a result of the changed composition of our investment assets or changes in our investment policy;
  • the frequency, severity and development of insured claim events;
  • acts of terrorism and acts of war;
  • mortality and morbidity experience;
  • policy renewal and lapse rates;
  • changes in rating agency policies or practices;
  • the lowering or withdrawal of one or more of the financial strength or credit ratings of one or more of our subsidiaries;
  • changes in levels of interest rates;
  • political risks in the countries in which we operate or in which we insure risks;
  • extraordinary events affecting our clients, such as bankruptcies and liquidations;
  • risks associated with implementing our business strategies;
  • changes in currency exchange rates;
  • changes in laws and regulations, including changes in accounting standards and taxation requirements; and
  • changes in competitive pressures.

These factors are not exhaustive. We operate in a continually changing environment and new risks emerge continually. Readers are cautioned not to place undue reliance on forward-looking statements. We undertake no obligation to publicly revise or update any forward-looking statements, whether as a result of new information, future events or otherwise.