Source: insurancebusinessmag.com

Munich Re, which is releasing its finalized third quarter results on November 8, has provided a peek into the reinsurer’s quarterly performance.

“In Q3 2022, Munich Re registered higher-than-average major-loss expenditure in property-casualty reinsurance,” noted the company. “It is expected that Hurricane Ian caused roughly €1.6 billion in losses after retrocession for Munich Re; this estimate remains subject to substantial uncertainty.

“Depending on the outcome of the ongoing quarterly closing – and on account of sustained encouraging operating performance in all lines of business and a positive one-off effect at ERGO Life and Health Germany – Munich Re anticipates a quarterly profit of about €0.5 billion, a increase from €366 million in the third quarter of last year.” For the year, meanwhile, Munich Re said it is still expecting about €3.3 billion in profit.

“However,” the reinsurer conceded, “it has become significantly more challenging to meet the 2022 profit target – which is subject to the realization of currently anticipated positive one-off effects, particularly regarding investments. In addition, the forecast is still based on major losses during Q4 being in line with the expectations.”