Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

Favourable result in a year dominated by the Covid-19 pandemic Dividend proposal of EUR 4.50 per share

GWP

F/x-adj. +12.0%

12.0%

22,598

24,765

+9.6%

2019

2020

8.2%

Return on Equity

P&C Reinsurance EBIT: 831 m.

  • Strong and diversified premium growth

    (f/x-adj. +15.8%)

  • Combined ratio at 101.6%, reflecting exceedance of large loss budget by 4.4% of NPE due to reserving for Covid-19 loss estimates (EUR 950 m.)

Figures in m. EUR, unless otherwise stated

NPE

F/x-adj. +10.6%

19,730

21,356

+8.2%

EBIT

Group net income

1,853

1,284

1,214

-34.5%

2019

-31.2%

2020

2019

91.17 EUR

Book value per share +4.4%

L&H Reinsurance

EBIT: 385 m.

  • Premium growth in line with expectations (f/x-adj. +4.7%)

  • Strong EBIT in light of Covid-19 losses of

    EUR 261 m., supported by higher result from at-equity participation and strong result from Financial Solutions business

2020

2019

235%

Solvency II ratio 31.12.2020

Investments NII: 1,688 m.

  • RoI from AuM: 3.0%, exceeds target of ~2.7%

  • Moderate decrease in ordinary investment income mainly due to lower contribution from inflation-linked bonds and private equity, partly mitigated by higher realised gains

  • AuM up by 3.3% to EUR 49.2 bn.

883

2020

2020 dividend reflects continuing strong performance Overall payout ratio in line with prior years

Dividend per share

in EUR

63%

Total payout ratio dividend per shareEPS

Ordinary dividend per shareSpecial dividend per share

1) Dividend proposal; subject to consent of AGM

Payout ratio ordinary dividend per share

RoE of 8.2% is highly satisfactory against the backdrop of the Covid-19 impact

Return on Equity: yearly

2016

2017

2018

2019

2020

ActualMinimum target1)Average shareholders' equity

1) After tax; target: 900 bps above 5-year rolling average of 10-year German government bond rate ("risk free")

Return on Equity: average

5-year Ø 2016 - 2020

10-year Ø 2011 - 2020

15-year Ø 2006 - 2020

Hannover Re is one of the most profitable reinsurers

No. 1 position on 5-year average RoE - significantly above peer average

2016

2017

2018

2019

2020

2016 - 2020

Company

RoE

Rank

RoE

Rank

RoE

Rank

RoE

Rank

RoE

Rank

avg. RoERank

Hannover Re

13.7%

1

10.9%

2

12.2%

1

13.3%

1

8.2%

2

11.7%

1

Peer 6, US, Life & Health

10.6%

4

21.9%

1

7.9%

3

8.7%

6

3.2%

7

10.5%

2

Peer 5, Bermuda, Property & Casualty

12.7%

2

5.7%

5

1.3%

9

11.9%

3

5.5%

4

7.4%

3

Peer 10, Korea, Composite

7.8%

8

6.2%

4

4.7%

6

8.1%

7

6.1%

3

6.6%

4

Peer 7, Bermuda, Property & Casualty

10.0%

5

-5.3%

10

4.2%

7

12.9%

2

10.8%

1

6.5%

5

Peer 1, Germany, Composite

8.3%

7

1.3%

7

8.5%

2

9.6%

5

4.0%

5

6.3%

6

Peer 8, France, Composite

9.3%

6

4.4%

6

5.4%

4

6.9%

9

3.7%

6

6.0%

7

Peer 4, US, Property & Casualty

5.9%

10

1.1%

8

0.5%

10

10.4%

4

1.2%

8

3.8%

8

Peer 2, Switzerland, Composite

10.6%

3

1.0%

9

1.4%

8

2.5%

10

-3.1%

9

2.5%

9

Peer 9, China, Composite

7.2%

9

7.2%

3

4.9%

5

7.3%

8

not yet reported

-

-

-

Average

9.6%

5.4%

5.1%

9.2%

4.4%

6.8%

List shows the Top 10 of the Global Reinsurance Index (GloRe)

Data based on company data, own calculation

6 Press Conference

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

Double-digit growth in an improving market environment Underwriting result impacted by reserving for Covid-19 loss estimates

Property & Casualty R/I in m. EURQ4/2019

Q4/2020

2019

2020

Gross written premium

Net premium earned

3,128 3,515

3,396

14,781

16,744

3,693

12,798

14,205

Net underwriting result incl. funds withheld

Combined ratio incl. interest on funds withheld

110 96.9%

(78)

235

(224)

102.1%

98.2%

101.6%

Net investment income from assets under own management

254

Other income and expenses

3

273

1,022

940

48

29

115

Operating profit/loss (EBIT)

367

Tax ratio

29.9%

Group net income

232

243

1,286

831

11.1%

25.4%

21.1%

202

872

620

Earnings per share (in EUR)

1.92

1.68

7.23

5.14

YTD

  • GWP f/x-adjusted +15.8%

  • NPE f/x-adjusted +13.5%

  • Major losses of EUR 1,595 m. (11.2% of NPE) exceeded budget of EUR 975 m. for 2020 due to reserving for Covid-19 loss estimates (EUR 950 m.); combined ratio adjusted for above-budget losses at 97.2%

  • Confidence level of reserves stable to slightly increased on the back of favourable reserve run-off and continued conservative initial reserving

  • Realised gains mitigated lower ordinary investment income and moderate impairments for private equity

  • Other income and expenses increased mainly due to positive currency effects

  • Lower tax ratio due to higher share of earnings in lower-tax subsidiaries

Major losses including Covid-19 reserving exceed 2020 budget of EUR 975 m. by EUR 620 m.

Natural and man-made catastrophe losses1)

in m. EUR

2,127

2010

2011Gross

2012Net

2013 2014Large loss budget (net)

2015

2020

9%

14%

10%

7%

13% 11%

825

825

875

975

2017

2016

2018

2019

Natural and man-made catastrophe losses in % of Property & Casualty premium

14% 12%

25% 16%

9%

7%

9%

8%

7%

6%

8%

7%

8%

17% 12%

8%

Large loss budget (net) in m. EUR

500

530

560

625

670

690

825

1) Up to 2011 claims over EUR 5 m. gross, from 2012 onwards claims over EUR 10 m. gross

Overall moderate major loss expenditure apart from Covid-19-related losses (1)

Catastrophe losses1) in m. EUR

Date

Gross

Net

Bushfire, Australia

1 - 31 Jan

27.9

26.1

Earthquake, Puerto Rico

6 - 7 Jan

18.6

15.0

Hail, Australia

15 - 21 Jan

13.2

8.1

Hail / Storm, Australia

19 - 20 Jan

18.8

13.8

Storm / Flood, Australia

4 - 13 Feb

22.4

14.5

Storm "Sabine", Europe

9 - 11 Feb

22.5

16.5

Tornados, USA

2 - 5 Mar

56.7

42.9

Hail / Storm, Australia

19 - 20 Apr

20.1

14.2

Floods, China

22 May - 22 Jul

30.1

28.7

Hail / Storm, Canada

13 - 14 Jun

38.1

22.4

Floods, Japan

3 - 6 Jul

13.2

11.3

Hail / Storm, USA

4 - 12 Aug

166.0

111.0

California wildfire, USA

16 Aug - 4 Oct

29.5

23.0

Washington / Oregon wildfire, USA

17 Aug - 27 Sep

14.8

9.7

Hurricane "Laura", USA

23 - 29 Aug

153.2

87.5

Hail, Australia

28 Oct - 1 Nov

52.7

25.9

Hurricane "Eta", Nicaragua

3 - 4 Nov

13.8

13.8

17 Natural catastrophes

711.7

484.2

1) Natural catastrophes and other major losses in excess of EUR 10 m. gross

Large loss budget 2020: EUR 975 m. thereof EUR 200 m. man-made and EUR 775 m. NatCat

10 Press Conference

Overall moderate major loss expenditure apart from Covid-19-related losses (2)

Catastrophe losses1) in m. EUR

Gross

Net

17 Natural catastrophes

711.7

484.2

4 Property claims

163.3

160.6

4 Man-made losses

163.3

160.6

21 Major losses

875.0

644.8

Covid-19-related losses

1,252.5

950.1

Total

2,127.4

1,594.9

1) Natural catastrophes and other major losses in excess of EUR 10 m. gross

Large loss budget 2020: EUR 975 m. thereof EUR 200 m. man-made and EUR 775 m. NatCat

11 Press Conference

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

Favourable underlying result impacted by Covid-19 losses Strong contribution from Financial Solutions

Life & Health R/I in m. EUR

Gross written premium

Net premium earned

Q4/2019

Q4/2020

2019

2020

Net underwriting result incl. funds withheld

Net investment income from assets under own management

Other income and expenses

Operating profit/loss (EBIT)

EBIT margin

Tax ratio

Group net income

Earnings per share (in EUR)

YTD

  • GWP f/x-adjusted +4.7%

  • NPE f/x-adjusted growth +5.3%

  • Technical result impacted by Covid-19 losses of EUR 261 m., US mortality otherwise in line with expectations

  • Net investment income on previous year's level, increased result from at-equity participation and higher realised gains from fixed income compensate for one-off effect in previous year (EUR 99.5 m.)

  • Other income and expenses mainly the result of strong contribution from deposit accounted treaties of EUR 337 m. (2019: EUR 287 m.)

  • Low tax ratio due to high share of earnings in lower-tax subsidiaries and tax-reduced investment gains

Strong new business production in 2020, VNB significantly exceeds target Q4/2020 new and pipeline business1)

New business

Pipeline business

Financial Solutions

LongevityMortality

Morbidity

Financial Solutions

LongevityMortality

Morbidity

Solvency relief (USA, China) - Financial Solutions

Solvency relief (Germany, USA) - Financial Solutions

Business financing (Germany) - Financial Solutions

Business financing (New Zealand) - Financial Solutions

Risk relief (UK) - Longevity

Risk relief (UK, Switzerland) - Longevity

Risk relief (Canada) - Mortality

Risk relief (Africa, USA, Canada) - Mortality

Risk relief (Canada) - Morbidity

893

  • 1) Focus on most important deals and opportunities

  • 2) Value of new business (in m. EUR) based on MCEV principles and post-tax reporting (in 2015 cost of capital already increased from 4.5% to 6% in line with Solvency II)

  • 3) Value of new business (in m. EUR) based on Solvency II principles and pre-tax reporting

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

RoI exceeds target despite challenging market conditions

Lower ordinary income compensated by realised gains from portfolio adjustments

in m. EUR

Ordinary investment income1)

Realised gains/losses

Impairments/appreciations & depreciations

Change in fair value of financial instruments (through P&L)

Investment expenses

NII from assets under own mgmt.

NII from funds withheld

Total net investment income

Unrealised gains/losses of investments

31 Dec 19

31 Dec 20

On-balance sheet

1,789

3,019

thereof Fixed income AFS

1,356

2,347

Off-balance sheet

524

557

thereof Fixed income HTM, L&R

233

217

Total

2,314

3,576

1) Incl. results from associated companies

Q4/2019

Q4/2020

2019

2020

RoI

YTD

2.7%

-0.3% 0.1%

0.7%

  • Lower ordinary income in line with expectations mainly due to inflation-linked bonds within fixed-income securities as well as lower returns from private equity and real estate funds; stable results from direct real estates; higher result from at-equity participation in Life & Health

    -0.3%

  • Realised gains mainly driven by some reallocations within fixed-income portfolio and regular portfolio adjustments as well as disposals of real estate investments; prior year benefitted from L&H one-off effect (EUR 99.5 m.)

    3.0%

  • Impairments predominantly driven by private equities and real estate fund valuations; impairments of fixed-income securities mainly recognised on emerging markets government bonds; stable depreciation of direct real estate investments

  • Sharp increase of valuation reserves due to significantly decreasing minimal-risk yield curves, overcompensating widening of credit spreads on corporates and lower valuations in alternative investments

Ordinary return supported by alternative assets

Defensive credit orientation throughout the year; modest re-entry into listed equities

Asset allocation1)

Investment category

2016

2017

2018

2019

2020

Fixed-income securities

87%

87%

87%

87%

85%

- Governments

28%

30%

35%

35%

34%

- Semi-governments

18%

17%

16%

15%

15%

- Corporates

33%

32%

29%

31%

30%

Investment grade

28%

27%

25%

26%

25%

Non-investment grade

4%

5%

4%

4%

5%

- Pfandbriefe, Covered bonds, ABS

9%

8%

7%

7%

6%2)

Equities

4%

2%

2%

3%

3%

- Listed equity

2%

<1%

<1%

<1%

1%

- Private equity

2%

2%

2%

2%

3%

Real Assets

5%

5%

6%

5%

5%

Others

1%

1%

1%

2%

3%

Short-term investments & cash

4%

4%

4%

3%

3%

Total market values in bn. EUR

42.3

40.5

42.7

48.2

49.8

Ordinary income split

  • 1) Economic view based on market values without outstanding commitments for Private Equity and Alternative Real Estate as well as fixed-income investments of EUR 1,275.6 m. (EUR 1,429.9 m.) as at 31 December 2020

  • 2) Of which Pfandbriefe and Covered Bonds = 66.0%

  • 3) Before real estate-specific costs. Economic view based on market values as at 31 December 2020

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

| 1 | 2 | 3 | 4 | 5 Solvency II reporting as at 31 December 2020 | 6 | 7 | 8 |

Capital adequacy ratio remains well above targets Increase in SCR driven by strong business growth in 2020

Development of the Solvency II ratio

  • Increase in eligible own funds despite Covid-19 losses due to positive earnings incl. new business value

246%

251%

235%

YE 2018

  • SCR grows at slightly higher rate, mainly due to business growth but also due to lower interest rate level and higher market volatilities

  • Solvency II ratio above threshold throughout 2020 proves effectiveness of volatility management2)

YE 2019

YE 2020

Eligible Own Funds

Solvency Capital Requirements (SCR)

  • 1) Includes deduction for minority shareholdings of EUR 653 m.

  • 2) Includes the use of the volatility adjustments

  • 3) Minimum Target Ratio Limit 180%

Excess capital

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

| 1 | 2 | 3 | 4 | 5 | 6 Target Matrix 2020 | 7 | 8 |

Favourable business growth serves as sound foundation for positive outlook Target Matrix 2020

Business group

Key figures

Targets for 2020

Q1-4/2020

Group

Return on investment1)

≥ 2.7%

3.0%

Return on equity2)

≥ 9.0%

8.2%

Earnings per share growth (y-o-y)

≥ 5%

-31.2%

Economic value creation3)

≥ 6.0%

6.0%

Solvency ratio4)

≥ 200%

235.2%

Property & Casualty R/I

Gross premium growth5)

3 - 5%

15.8%

Combined ratio6)

≤ 97%

101.6%

EBIT margin7)

≥ 10%

5.9%

xRoCA8)

≥ 2%

0.9%

Life & Health R/I

Gross premium growth9)

3 - 5%

4.7%

Value of New Business (VNB)10)

≥ EUR 220 m.

EUR 778 m.

EBIT growth11)

≥ 5%

-32.5%

xRoCA8)

≥ 2%

17.6%

1) Excl. effects from ModCo derivatives

2) After tax; target: 900 bps above 5-year average return of 10-year German government bonds

3) Growth in economic equity + paid dividend; target: 600 bps above 5-year average return of 10-year German government bonds 4) According to our internal capital model and Solvency II requirements

5) On average throughout the R/I cycle at constant f/x rates 7) EBIT/net premium earned

9) Organic growth only; target: annual average growth over a 3-year period, at constant f/x rates 11) Annual average growth over a 3-year period

6) Incl. large loss budget of EUR 975 m.

8) Excess return on allocated economic capital

10) Based on Solvency II principles; pre-tax reporting

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

Profitability above margin requirements in Property & Casualty Financial year 2021

Regional markets

Worldwide markets

Reporting categories

Volume1)

Profitability2)

EMEA3)

+ + +/-++ +/-

Americas3)

APAC3)

Structured Reinsurance and ILS

Credit, Surety and Political Risks

Facultative Reinsurance

+ +

Aviation and Marine

Agricultural Risks

+

  • 1) In EUR, development in original currencies can be different

  • 2) ++ = well above CoC; + = above CoC; +/- = CoC earned; - = below Cost of Capital (CoC)

  • 3) All lines of business except those stated separately; EMEA incl. CIS

23 Press Conference

Profitability in Life & Health further impacted by Covid-19 Financial year 2021

Reporting categories

Financial solutions

Longevity

Mortality

Morbidity

Volume1)

Profitability2)

3)

++ + - +/-

  • 1) In EUR, development in original currencies can be different

  • 2) ++ = well above CoC; + = above CoC; +/- = CoC earned; - = below Cost of Capital (CoC)

  • 3) Business volume including contracts not reflected in premium income

24 Press Conference

Guidance for 2021

Hannover Re Group

  • Gross written premium1)

    ~ 5% growth

  • Return on investment2) 3)

    ~ 2.4%

  • Group net income2)EUR 1.15 - 1.25 bn.

  • Ordinary dividend pay-out ratio4)

    35% - 45%

  • Special dividend

  • 1) At unchanged f/x rates

    additional pay-out if profit target is reached and capitalisation is comfortable

  • 2) Subject to no major distortions in capital markets and/or major losses in 2021 not exceeding the large loss budget of EUR 1.1 bn. and no material Covid-19 impact in L&H

  • 3) Excluding effects from ModCo derivatives

  • 4) Relative to group net income according to IFRS

Agenda

1

Group overview

2

2

Property & Casualty reinsurance

7

3

Life & Health reinsurance

12

4

Investments

15

5

Solvency II reporting as at 31 December 2020

18

6

Target Matrix 2020

20

7

Outlook 2021

22

8

Appendix

26

Covid-19 impact is material but remains manageable 2020

Expected net P&C Covid-19 claims

in m. EUR

Expected net L&H Covid-19 claims

in m. EUR

Business interruption 208

Events 201

(mainly US)

Efficient capital deployment supported by significant diversification Increase in own funds and capital requirements in line with business growth

Solvency Capital Requirements

Property & Casualty

Life & Health

Market

Counterparty default

Operational

Required capital before tax

Deferred taxes

Required capital after taxEligible own funds

As at 31 December 2020

Solvency capital requirements based on the internal model

Capital allocation based on Tail Value-at-Risk taking account of the dependencies between risk categories

in m. EUR

High-quality capital base with 87% Tier 1

Unutilised Tier 2 provides additional flexibility

Reconciliation of IFRS Shareholders' equity vs. Solvency II own funds

in m. EUR

Excess of assets

Shareholders' equity incl. minorities (IFRS)

Adjustments for Adjustments for

As at 31 December 2020

assets under own management

technical provisionsdue to tax effects over liabilities and others

  • 1) Foreseeable dividends and distributions incl. non-controlling interests

  • 2) Net deferred tax assets

Adjustments

Foreseeabledividends

1)

Minority haircutHybrid capitalBasic own funds after deductions

Unutilised Tier 2 capacity

Tier 3

capital

Tier 2 capital

Tier 1

hybrid capital

Tier 1 unrestricted capital

2)

Our business groups at a glance 2020 vs. 2019

in m. EUR

2019

2020

Δ

Gross written premium

14,781

16,744

+13.3%

8,021

Net premium earned

12,798

14,205

+11.0%

7,150

Net underwriting result

188

(274)

-

(641)

Net underwriting result incl. funds withheld

235

(224)

-195.0%

(470)

Net investment income

1,069

990

-7.4%

695

From assets under own management

1,022

940

-8.0%

524

From funds withheld

48

50

+5.9%

171

Other income and expenses

29

115

-

331

Operating profit/loss (EBIT)

1,286

831

-35.3%

385

Financing costs

(2)

(2)

-8.4%

(2)

Net income before taxes

1,283

829

-35.4%

383

Taxes

(326)

(175)

-46.3%

(58)

Net income

958

654

-31.7%

325

Non-controlling interest

86

34

-60.5%

2

Group net income

872

620

-28.8%

323

Retention

90.3%

90.3%

89.8%

Combined ratio (incl. interest on funds withheld)

98.2%

101.6%

-

EBIT margin (EBIT / Net premium earned)

10.0%

5.9%

5.4%

Tax ratio

25.4%

21.1%

15.2%

Earnings per share (in EUR)

7.23

5.14

2.68

Property & Casualty R/I

Life & Health R/I

Total

2020

Δ

2019

2020

Δ

+2.6%

22,598

24,765

+9.6%

+3.2%

19,730

21,356

+8.2%

+58.9%

(216)

(915)

-

+92.0%

(10)

(694)

-

+1.6%

1,757

1,688

-3.9%

-0.3%

1,551

1,466

-5.4%

+7.9%

206

222

+7.4%

+14.4%

312

441

+41.3%

-32.5%

1,853

1,214

-34.5%

-5.3%

(87)

(90)

+3.6%

-32.6%

1,766

1,124

-36.4%

-37.8%

(393)

(205)

-47.8%

-31.5%

1,373

919

-33.1%

-45.9%

89

36

-60.0%

-31.4%

1,284

883

-31.2%

90.0%

90.1%

-

9.4%

5.7%

22.2%

18.2%

10.65

7.32

Our business groups at a glance Q4/2020 vs. Q4/2019

in m. EUR

Q4/2019

Q4/2020

Δ

Gross written premium

3,128

3,396

+8.6%

2,074

Net premium earned

3,515

3,693

+5.1%

1,891

Net underwriting result

96

(87)

-190.5%

(225)

Net underwriting result incl. funds withheld

110

(78)

-170.7%

(177)

Net investment income

268

282

+5.3%

221

From assets under own management

254

273

+7.3%

172

From funds withheld

14

9

-31.9%

48

Other income and expenses

3

48

-

74

Operating profit/loss (EBIT)

367

243

-33.8%

69

Financing costs

(1)

(1)

-19.4%

(0)

Net income before taxes

366

242

-33.8%

69

Taxes

(110)

(27)

-75.5%

(41)

Net income

257

215

-16.1%

28

Non-controlling interest

25

13

-46.9%

1

Group net income

232

202

-12.7%

27

Retention

88.5%

90.1%

90.7%

Combined ratio (incl. interest on funds withheld)

96.9%

102.1%

-

EBIT margin (EBIT / Net premium earned)

10.4%

6.6%

3.7%

Tax ratio

29.9%

11.1%

60.1%

Earnings per share (in EUR)

1.92

1.68

0.22

Property & Casualty R/I

Life & Health R/I

Total

Q4/2020

Q4/2019

Q4/2020

Δ

5,204

5,471

+5.1%

5,338

5,584

+4.6%

(35)

(312)

-

24

(254)

-

425

503

+18.3%

366

445

+21.6%

59

58

-1.7%

68

120

+77.8%

458

311

-32.0%

(23)

(19)

-20.5%

434

293

-32.6%

(127)

(63)

-50.2%

307

229

-25.4%

26

14

-46.8%

281

215

-23.4%

88.5%

90.3%

-

-

8.6%

5.6%

29.2%

21.6%

2.33

1.78

Well-balanced international portfolio growth

Gross written premium

in m. EUR

AfricaAustraliaLatin AmericaAsiaOther European countriesGermanyUnited KingdomNorth America

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

Property & Casualty reinsurance: diversified growth 5-year CAGR: +12.4%

GWP split by reporting categories

in m. EUR

Gross written premium split by regions

Agricultural Risks

Aviation and Marine

Facultative R/I

Credit, Surety and Political

Risks

Structured R/I and ILSAPAC1)Americas1)

16,744

EMEA1)

2016

2017

1) All lines of Property & Casualty reinsurance except those stated separately

2018

2019

2020

2019

2020

Life & Health reinsurance: portfolio structure largely unchanged 5-year CAGR: +0.7%

GWP split by reporting categories

in m. EUR

Gross written premium split by regions

MorbidityMortalityLongevityFinancial solutions

8,021

7,816

2016

2017

2018

2019

2020

2019

2020

Stress tests on assets under own management; focus on credit exposures Current credit markets almost back to pre-2020 mode

Portfolio

Scenario

Change in market value in m. EUR

Change in OCI before tax in m. EUR

-10%

Equity (listed and private equity)

-20%

+50 bps

Fixed-income securities

+100 bpsCredit spreads

+50%Real Assets

-10%

-168

-168

-336

-336

-1,247

-1,183

-2,421

-2,295

-674

-658

-251

-120

As at 31 December 2020

35 Press Conference

High-quality fixed-income book well balanced

Geographical allocation mainly in accordance with our broad business diversification

Governments

Semi-governments

Corporates

Pfandbriefe, Covered bonds,

ABS

Short-term investments, cash

Total

AAA

73%

60%

1%

60%

-

45%

AA

10%

24%

12%

18%

-

14%

A

11%

7%

32%

13%

-

17%

BBB

4%

1%

44%

7%

-

17%

<>

2%

9%

11%

1%

-

6%

Total

100%

100%

100%

100%

-

100%

Germany

20%

33%

4%

17%

13%

17%

UK

7%

2%

8%

9%

19%

7%

France

1%

1%

7%

6%

1%

3%

GIIPS

0%

1%

4%

5%

0%

2%

Rest of Europe

4%

16%

15%

26%

3%

11%

USA

45%

13%

30%

13%

16%

32%

Australia

5%

8%

7%

11%

10%

7%

Asia

12%

10%

10%

1%

27%

11%

Rest of World

4%

15%

15%

11%

12%

11%

Total

100%

100%

100%

100%

100%

100%

Total b/s values in m. EUR

17,045

7,408

14,244

2,977

1,605

43,281

IFRS figures as at 31 December 2020

36 Press Conference

Currency allocation matches modelled liability profile Strict duration-neutral strategy continued

Currency split of investments

  • Modified duration of fixed-income mainly congruent with liabilities and currencies

  • GBP's higher modified duration predominantly due to life business; EUR driven by hybrid bond issuance

Modified duration

2020

5.8

2019

5.7

2018

4.8

2017

4.8

2016

5.0

Disclaimer

This presentation does not address the investment objectives or financial situation of any particular person or legal entity. Investors should seek independent professional advice and perform their own analysis regarding the appropriateness of investing in any of our securities.

While Hannover Re has endeavoured to include in this presentation information it believes to be reliable, complete and up-to-date, the company does not make any representation or warranty, express or implied, as to the accuracy, completeness or updated status of such information.

Some of the statements in this presentation may be forward-looking statements or statements of future expectations based on currently available information. Such statements naturally are subject to risks and uncertainties. Factors such as the development of general economic conditions, future market conditions, unusual catastrophic loss events, changes in the capital markets and other circumstances may cause the actual events or results to be materially different from those anticipated by such statements.

This presentation serves information purposes only and does not constitute or form part of an offer or solicitation to acquire, subscribe to or dispose of, any of the securities of Hannover Re.

© Hannover Rück SE. All rights reserved.

Hannover Re is the registered service mark of Hannover Rück SE.

38 Press Conference

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Hannover Rück SE published this content on 09 March 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 March 2021 09:09:03 UTC.