Facts and figures

    2011 2010 2009 2008 2007
Gross premiums CHF m 1.402 1.289 1.518 1.124 1.241
Life and Health CHF m 630 587 577 515 647
Property and Casualty CHF m 772 702 941 609 594
Net earned premiums CHF m 1.148 1.162 1.465 1.066 1.188
Life and Health CHF m 507 572 578 503 632
Property and Casualty CHF m 641 590 887 563 556
Combined ratio Non-Life % 97.8 84.1 89.4 102.0 85.8
Result for the year CHF m 109 136 206 46 227
Investments CHF m 3.393 3.016 3.539 2.961 3.121
Shareholder's equity CHF m 815 842 1.191 986 941
S&P Rating   AA- AA- AA- AA- AA-

Main events during the year and outlook for 2012

Growth in business and satisfactory result

In 2011, NewRe achieved a net result of CHF 108.9m, 20% down on last year’s result of CHF 136.3m, which was paid by way of dividend to Munich Re in 2011. Premium volume was CHF 1.40bn compared to CHF 1.29bn for the previous year (+8.8%).

While NewRe chose to further reduce business in traditional segments due to the inadequacy of the prices achievable, the development of structured reinsurance solutions (life and non-life) had a positive effect on volume and the result.

Combined ratio below 100% despite global accumulation of natural catastrophes

NewRe incurred total claims of CHF 50m in the accumulation of NatCat events in 2011 (storms in Scandinavia, earthquakes in Japan and New Zealand, floods in Thailand and the winter freeze in Ireland). The largest single loss event was a pharma loss of CHF 30m.

The non-life combined ratio rose to 97.8% after the outstanding years of 2009 and 2010, for which the combined ratios were 84.1% and 89.4% respectively.

Investments and other result

The further appreciation of the Swiss Franc against major currencies led to a negative effect of CHF 21m. The investment return in original currencies amounted to 4.0%. CHF 14m gains were realised trough sales of investments

Strong equity base

With shareholder’s equity of CHF 815m and an equalisation reserve of CHF 212m, NewRe remains a strongly capitalised and reliable partner. The S&P rating continues to be AA-.

Outlook for 2012

For the first time after several years of softening markets, market conditions look more promising for 2012. NewRe expects a slight increase in traditional segments and continues to build on its expertise in tailor-made structured solutions.

Due to the debt crisis and low interest rates, the environment for investments remains challenging.