When Munich Re was founded in 1880, it was one of the first independent reinsurance companies, i.e. a reinsurer not run by a primary insurer. Ever since this time, reinsurers have functioned as risk managers, assuming part of the risk covered by primary insurers. Thus, in the insurance industry's value chain, reinsurers and primary insurers are two complementary elements. Soon after its establishment, Munich Re expanded its activities to foreign countries. Starting in 1886, it began opening representative offices in Europe, followed by a branch in the USA in 1899. 5,000 insurance companies in 150 countries rely on Munich Re's expertise and financial strength. Of the gross premiums written in 2007, around 66% came from property-casualty and 34% from life and health business. Munich Re offers a full range of products — from traditional reinsurance to alternative risk financing. Among other things, we reinsure the risks of oil rigs, satellites and natural catastrophes, and those arising from the use of genetic engineering and information technology or from corporate management. The second main pillar of the Munich Re Group is primary insurance business. Here we focus on Europe and particularly Germany, where we are the second-largest primary insurance group in terms of gross premiums. |