Auditors Term to expire in Swiss Auditing and Fiduciary Company, Zuricti 1988
German-speaking Switzerland, Ger­ many, Austria, Netherlands, Denmark, Sweden, Norway, Finland, Iceland M. Nabholz, Senior Executive Manager E. Etter, Executive Manager Executive Managers B. Meyer, W. Müller, W. RQetschi Managers W. Hersberger, R. Siegrist
Portugal, Eastern Europe, Near, Middle and Far East, Latin America, international US business, Bermuda, Caribbean, English-speaking Africa H. Haag, Executive Manager R Würscti, Executive Manager* G.Bactimann, Executive Manager Executive Managers R Bieri, G. Holzel Managers J. Bleuler, G.Haering, LI Rozzi, F J. Wingrove Members ot Management H.H.Zollinger*, R.Maag, K. Claridge
Main lines: Accident/Liability, Motor, Fire, Hail, Burglary Executive Managers M.A. Tobler*, H.-K. Zulauf Managers M. Bradley, F Eugster, R Gasser, 8. Nigg, R. Schilling, A. Schneeberger, J. Spühler, R Szöllösy, H. Vollenweider
The increase of premium income in Motor reinsurance can largely be explained by increased premiums in the United States, but also by rate adjustments in Europe. The loss registered in the previous year, which was due to the extraordinary claims incurred in Motor Physical Dam­ age reinsurance following the Munich hailstorm, was al­ most halved in the year under report. Even including interest on technical reserves, however, there still re­ mains a loss. The striking improvement in American busi­ ness is encouraging, while some European markets, above all France, showed unsatisfactory results. This year we have once more added substantial extra amounts of our own to strengthen the claims reserves considered necessary by our clients.
Total result before tax (1) + (2) + (3) 183,510,917 152,400,791 Taxes - 64,025,296 - 51,179,168
The balance-sheet value of holdings rose by Sw.frs. 1.5 million to Sw.frs. 50.9 million. Loans to Group companies increased by Sw.frs. 17.7 million; on the balance-sheet date they amounted to Sw.frs. 526.1 million.
Life Reinsurance Policy reserves 1,232.6 1,228.1 Outstanding claims reserve 275.0 217.1 in % of insurance in force, net 3.0% 2.8%
Generai income and Outgo Investment income Management expenses Rate fluctuations, depreciation, value adjustments
The gross premiums of the Magdeburger Versicherungs­ gruppe, Hanover, rose by 6.3% to DM 930.7 million. The gross premiums of the Magdeburger Feuerversicherungs -AG increased by 6.8% to DM 687.0 million (previ­ ous year, DM 643.3 million). The underwriting loss de­ clined insignificantly. Together with a further good invest­ ment income an increased profit for the year of DM 8.2 million (previous year, DM 5.1 million) was registered. Of this amount, DM 5.0 million (previous year, DM 3.6 million) was paid out as a dividend. - The amount of business in force of the Magdeburger Lebensversicherungs-AG rose by 6.3% to DM 5,900 million (previous year, DM 5,600 mil­ lion). Insurance claims fell slightly. A further increase in in­ vestment income improved the result. After direct credits and a higher allocation to the reserve for policyholders' bonuses, a profit remained forthe year of DM 0.58 million (previous year, DM 0.55 million); this was used to make a contribution to the paid-up capital as well as to pay an un­ changed dividend of DM 0.3 million.
The gross premiums of the Vereinigte Versicherungs­ gruppe, Munich, rose, with the inclusion of non-recurring premiums from the reserve for return of premium, by 6.7% overall to DM 3,235.6 million. The Vereinigte Aachen-Ber­ linische Versicherung AG increased its gross premiums by 7.4% to DM 655.0 million (previous year, DM 610.0 mil­ lion). The underwriting result showed a clear improve­ ment, in particularthanks to rate increases in Motor Third Party Liability insurance and the lack of major claims. Be­ cause of a substantial increase of the equalization re­ serve by DM 23.8 million (previous year, DM 5.9 million) and an increased tax burden, a reduced profit forthe year of DM 8.9 million (previous year, DM 17.0 million) was shown. The dividend was increased to DM 6.1 million
The Fidelity and Deposit Company Maryland, Baltimore, in which the «Zurich» insurance Company and the Swiss Re each have a 50% shareholding, is not consolidated in the Group accounts, in 1985 the gross premiums rose by 44% to 118$ 209.6 million (previous year, US$ 145.2 million). The high growth is due on the one hand to higher pre­ mium rates and on the otherto new business. Because of certain major claims in Surety business the underwriting result was below that of the preceding year. The invest­ ment result developed well in accordance with prevailing market conditions. The overall result was US$ 1.6 million (previous year, US$ 4.5 million).
The SwissRe Holding Limited comprises all majority holdings whose figures have been consoiidafed - with the exception of Swiss Re, Zurich, and the North Ameri­ can Specialty insurance Company, Manchester, New Hampshire -together with a number of minority holdings in the insurance and reinsurance sectors.
The structure of the holding portfolio underwent no major changes during the year under report. The funds in com­ pany holdings rose slightly following capital increases. The loan granted by the Swiss Re rose by Sw. frs. 18.2 mil­ lion to Sw.frs. 515.4 million.
Cross premiums 1,227 557 1,784 2,419 Premiums ceded - 286 - 14 - 300 - 496 Net premiums 941 543 1,484 1,923 Adjustment in policy and annuity valuations - 138 - 224 - 362 - 316 Interest on Lite insurance and annuity fund 100 306 406 441 Commissions and profit commissions - 226 - 380 - 606 - 750 Claims incurred incl. adjustment in outstanding claims reserve - 553 - 166 - 719 -1,019 Surrenders - 105 - 71 - 176 - 201
Investment income 886 152 1,068 1,040 Ottier financial income - — 12 10 Management expenses - 386 - 118 - 521 - 500 Rate fluctuations, depreciation. value adjustments 171 30 218 166 Ottier outgo - - 8 7
The tigures shown In the Group accounts are based on consolidation and valuation principles which are basi­ cally uniform for all Group companies. Individual excep­ tions are of minor Importance and are mentioned sepa­ rately. Balances receivable and payable as well as Inter­ est and dividend payments between consolidated com­ panies are eliminated. Similarly the Group's consolidated tigures contain no premiums trom the Intra-Group ex­ change ot business. The consolidation and valuation principles are the same as In the previous year.
These items refer to components of the profit and loss account of the mh Bausparkasse AG and to the holding companies which, in view of their special nature, are not Included under insurance and reinsurance.
Fidelity and Deposit Company of Maryland* US $ 50 156,913 348,367 209,595
North American Specialty Insurance Company US $ 100 5,493 6,745 9,025
incurred but not reported losses (IBNR): Provision for losses which have occurred but which have not yet been reported to the -> insurer or ^ reinsurer on the balancesheet date.
Net premiums: ->• Reinsurance premium of a business year less retrocession premiums.
Reinsurer: Company which accepts a share of the ̂ in­ surer's risks.
Treaty reinsurance: The participation of the reinsurer in certain sections of the ^ insurer's business as agreed by treaty (cf. facultative reinsurance).