Munich Re forecasts 2022 profit lift after pandemic rebound

(Reuters) — German reinsurance group Munich Re on Wednesday forecast a 14% jump in profit this year as it reported a bounce back in 2021 from the coronavirus pandemic despite big claims from natural disasters.

Marked by devastating hurricanes and cold snaps in the United States, 2021 was one of the costliest years ever for the world’s insurers. 

Nevertheless, Munich Re’s net profit for the year more than doubled to €2.9 billion ($3.28 billion), up from €1.2 billion in 2020. The figure was in line with analyst expectations but slightly exceeded the company’s own target of €2.8 billion.

For the current year, Munich Re forecasts a profit of €3.3 billion.

It said that reinsurance contract renewals at the start of the year rose by the overall volume of premiums as well as by price.

“Propelled by this momentum, we will resolutely tap into the favorable market environment as we increase our profit to €3.3 billion in 2022,” CEO Joachim Wenning said.

This website states: The content on this site is sourced from the internet. If there is any infringement, please contact us and we will handle it promptly.