Swiss Re at 160: Living up to the legacy of our founders

The timing of Swiss Re's creation 160 years ago during an era of monumental projects and swift economic transformation was no coincidence. Our founders recognised that the heightened risks of a changing world demanded a new source of capital and expertise to protect against big catastrophes. Risks are still evolving, but Swiss Re's strong sense of purpose endures.

Swiss Re founding figures Moritz Grossmann and Alfred Escher had great expectations on 19 December 1863, the day the articles of association were signed in Zurich's municipal offices to create what is now the world's oldest independent reinsurance company. In what were transformative times, they saw Swiss Re as an antidote for the era's emerging perils.

From the intercontinental railroads of Europe and America and the Suez Canal to the great fleets of ocean-going ships supplying the period's rising metropolises, life in the mid-1800s was being reshaped by rapid industrialization and urbanisation. The sheer scale of risk, and its consequences for society, had taken on new dimensions.

Grossmann, an insurance specialist from the Austrian Empire who had settled in Switzerland, and Escher, a giant of Swiss finance, foresaw that a new company was needed – a shock absorber for the largest catastrophes – as an enabling element of the progress and development unfolding around them. This was the world into which Swiss Re was born, and it is the world where we continue to operate, 160 years later.

As we now mark the anniversary of Swiss Re's founding, there's a natural temptation to reflect a little nostalgically on our legacy. From my perspective, what's more important to consider is what this legacy means for Swiss Re's future -- how the experience built by this company since its creation has prepared it for the challenges to come.

I joined Swiss Re as a board member seven years ago. I acknowledge being a relative newcomer, especially compared with company veterans who have been here for decades.  

Over the course of my 30-year career in the insurance and financial services industry at large clients of Swiss Re, however, I had gotten to know this company long before taking up my current role. I'd already developed a strong appreciation for Swiss Re's mission of helping its partners – and in the process, strengthening society's ability to prepare for and rebound from catastrophes.

Some things stand out. Swiss Re has always been considered a premier partner for clients considering their reinsurance and risk transfer options. Its global nature combined with deep roots in stable Switzerland make Swiss Re a uniquely attractive ally. And its broad footprint, with relationships in virtually every country, makes it the go-to option to cover all business lines and geographies.

Swiss Re was created to help fulfill the needs of Switzerland's growing 19th-century economy, but the company's vision was always international by necessity. Its earliest directors, from Italy, Germany and France, brought with them expertise acquired in Europe's financial capitals to Zurich to guide Swiss Re's expansion across Germany, Austria, France and later Great Britain, the Americas, Asia, Africa and Australia. Today, our approximately 14,000 employees operate from more than 80 offices globally, in Property & Casualty, Life & Health, insurance for corporates and digital insurance for global brands. 

When Swiss Re moved into its original two-room office in Zurich's historic old town, fire and threats to maritime transportation were among society's biggest risks. Consequently, our first reinsurance contracts were struck with fire and marine insurers, helping them provide stable protection for homes and businesses as well as the tall ships that sailed the high seas.

As Swiss Re has grown, so has the complexity of the interconnected risks our clients and partners in both the private and public sectors face. These include global economic and political fragmentation; the blessings (and curses) of rapid digitalisation; pandemics; and the transformation of the energy system, as societies work to counteract the powerful forces contributing to a warming planet.

In fact, the modern challenges that Swiss Re is now helping our partners overcome with its evolving risk knowledge, solutions and protection are no less epic than those of the 19th century that initially made our company's risk covers so essential. This track record of helping clients steer a course through periods of upheaval informs Swiss Re's ability today to help them overcome contemporary obstacles -- and be ready for the risks of tomorrow.      

On Swiss Re’s 160-year journey, we have built strong client relationships, an excellent capital position that supports a robust risk appetite, and a talented, dedicated, and motivated workforce whose sights are firmly trained on strengthening our performance and achieving business goals. Our diverse employees are united by a keen sense of purpose that connects them to the company's rich history.

Back in 1863, our founders envisioned a key role for reinsurance in driving the world forward, beyond what previous generations had imagined, by providing the financial foundations necessary to manage the threats that accompany bold ventures. From its inception, Swiss Re's purpose hasn't been merely protecting against risks; we help make risk-taking possible.

While the vast array of risks our clients face today has clearly evolved, Swiss Re's mission endures: Boosting the resilience of society in a world where risk never stands still.

With this comes the obligation to live up to the legacy of our founders by ensuring that Swiss Re continues to anticipate and fulfill the needs of our customers, provide attractive returns to shareholders, and offer rewarding opportunities to our employees while contributing to a better world as the story of this great company continues to unfold.

Jacques de Vaucleroy, who has led Swiss Re's Board of Directors since April 2023, has been proposed to shareholders for election as Chairman at the Annual General Meeting in April 2024.