Munich Re has posted a disappointing set of Q1 results, suffering a €238m (£170.8m) loss as it was hit by continuing weakness in the capital markets.
The loss compares to a €4.5bn (£3.2bn) profit during the same period last year.
Compared to the first quarter of 2002, premium income increased only slightly, rising by 0.8% to €10.8bn (£7.7bn).
However its underwriting policy succeeded in bringing the combined ratio down below the 100% mark, to 96.8%.
Hans-Jürgen Schinzler, chairman of the board of management said: "We are making good progress, despite the uncertainties regarding capital market trends. Provided we are spared exceptional loss events, the advances we have made in operative business will have a noticeable impact on our overall result for 2003."
