Hannover, 17 June 2013:
Although the floodwaters in Germany, Austria and the Czech Republic have likely peaked, it is still too early to make a precise assessment of the insured losses. More accurate damage surveys will only be possible once the floods have receded. Hannover Re has nevertheless made an initial loss estimate based on its written reinsurance treaties. The company anticipates that its net loss may exceed EUR 100 million, but should remain significantly below EUR 200 million.
In view of the rather minimal incidence of major losses to date, this means that the major loss budget for the first half-year will probably not be fully utilised. This is the case even allowing for the tornado damage in the U.S. state of Oklahoma in May of this year, which impacted the company in an amount of EUR 30 million for net account.
Hannover Re therefore feels able to reaffirm its Group net income guidance of around EUR 800 million for 2013. In this context it should be borne in mind that the entire major loss budget for the second half of the year is still available.