Thanks to ongoing very pleasing operating performance, Munich Re aims for a consolidated profit of around €4.0bn¹ for the 2023 financial year under the new reporting standard IFRS 17. Insurance revenues, which represent the IFRS 17 item that will supersede “premiums” in future, are expected to reach around €58bn. It is anticipated that the return on investment will amount to at least 2.2%.

In its reinsurance field of business, Munich Re anticipates insurance revenues of about €39bn and a profit of around €3.3bn in 2023. The combined ratio in property-casualty reinsurance is likely to improve significantly to around 86%, mainly owing to the disclosure method per IFRS 17 compared to the method under IFRS 4. In life and health reinsurance, Munich Re projects a total technical result of around €1.0bn, which in future will include the disclosure of the result from business with non-significant risk transfer.

The ERGO field of business will contribute around €0.7bn to the consolidated result in 2023, with ERGO’s insurance revenues expected to total around €19bn. A combined ratio of around 89% is envisaged in the ERGO Property-casualty Germany segment, and about 90% in the ERGO International segment.

All forecasts and targets face increased uncertainty owing to fragile macroeconomic developments, volatile capital markets and the unclear future of the pandemic. In particular, there continues to be considerable uncertainty regarding the financial impact of the Russian war of aggression in Ukraine. As always, the projections are subject to major losses being within normal bounds, and to the income statement not being impacted by severe fluctuations in the currency or capital markets, significant changes in the tax environment, or other one-off effects.

¹ With regard to IFRS 17, there is neither a market consensus nor comparable published figures from the previous year.