As a reinsurer, we enter into a broad variety of risks which, on the one hand, open up business opportunities but, on the other hand, can also have adverse implications for our company. Our goal is to make optimal use of opportunities while at the same time adequately controlling and managing the risks associated with our commercial activities. The risk strategy derived from the corporate strategy forms the basis for our approach to handling opportunities and risks.

Opportunity management

Hannover Re analyses trends, business ideas and opportunities systematically with the aim of generating new business and fostering sustainable growth.

In order to foster the important success factors of our corporate culture in our fast growing company, Hannover Re initiated a bottom-up process to uncover the group-wide values and a purpose statement. The essential values „responsibility“, „drive“ und „we-spirit“ are consistent with our purpose: „Beyond risk sharing - we team up to create opportunities“.

We offer entrepreneurial talents an environment for successful start-up and expansion projects in the field of (re)insurance. Building a network of innovative minds is supported both within Hannover Re Group and with external partners.

Hannover Re has developed a structured innovation process for the in-house generation of ideas. This process offers all employees worldwide a platform for contributing innovative ideas geared to increasing efficiency, inter alia in the fields of automation, risk assessment and accumulation control as well as product development.

Concerning our business groups Property & Casualty and Life & Health reinsurance, targeted consideration is given to new business opportunities that promise access to innovative technologies. Various competence centres have been set up in the Hannover Re Group to evaluate the strategic and technical significance of innovative new digital technologies. These include an organisational unit that provides specific support for insurtechs in the development of their digital business models and devises reinsurance solutions to this end, thereby also generating new premium potential for Hannover Re.

With extensive contacts in the global insurance industry, Hannover Re is well placed to host an innovation platform allowing insurtechs to market their solutions exclusively to our clients. Our clients in turn have direct access to a pool of services and solutions, as well as business cases demonstrating successful implementations around the world. Solutions and services can be pitched on

We offer:

  • A network in the insurance sector
  • Expert knowledge
  • Support with obtaining licences
  • Funding assistance

Risk management

Through our global orientation and our operations in all lines of reinsurance we achieve extensive risk equalisation. In particular, diversification between our Property & Casualty and Life & Health reinsurance business groups enables us to effectively deploy our capital.

We manage our total enterprise risk such that we can expect to generate positive Group net income with a probability of 90% and the likelihood of the complete loss of our economic equity and shareholders’ equity does not exceed 0.03% p. a. These indicators are monitored using our internal capital model.

The rating agency Standard & Poor's assessed Hannover Re's risk management as "Very Strong", the highest rating.

Risk landscape

The risk landscape of Hannover Re encompasses technical risks in property/casualty and life/health reinsurance, market risks, counterparty default risks, operational risks and other risks. The specific risk characteristics and the principal monitoring and management mechanisms are described in detail in the respective sections of the current Group Annual Report.