Munich Re and Swiss Re are set to preside over a continuing hard market for reinsurance after announcing difficult results. Munich Re`s 2002 Euro1.1bn (£761m)net profit was lower than the Euro1.8bn (£1.2bn) markets had hoped for, despite being quadruple the Euro250m (£173m)made in 2001.
Only asset sales of Euro4.7bn (£3.3bn)saved the German group from posting a full year loss after a fourth quarter loss of Euro2.2bn (£1.5bn). It was not enough to satisfy analysts and Standard &
Poor`s downgraded the reinsurer to AA - from AA+.
The ratings agency was concerned the German group`s capital base had weakened and described as "questionable "Munich Re`s plans to hit a combined ratio of 104%.
Swiss Re narrowed its net loss in 2002,as strong performances from property/casualty and life/health business helped offset huge impairment charges.
The group posted a loss of SFr91m (£43m)compared to a SFr165m (£77m)loss in 2001,after SFr3.9bn (£1.8bn) of investment writedowns.
Hosted by comedian and actor Tom Allen, 34 Gold, 23 Silver and 22 Bronze awards were handed out across an amazing 34 categories recognising brilliance and innovation right across the breadth of UK general insurance.
