Hannover Re’s premium growth is also fueled by insurtechs
Hannover Re increased its property and casualty reinsurance premium volume by 7.6% in the January 2025 renewals while maintaining portfolio quality despite a 2.1% average price decline. The reinsurer reported a preliminary net income of €2.3 billion for 2024, meeting its profit target, and confirmed guidance of €2.4 billion for 2025. Demand for structured reinsurance remains strong, with the company expecting double-digit growth in that segment.
“We can look back on successful renewals in a market that remains attractive. This enabled us to generate further profitable growth in our book of business,” said Jean-Jacques Henchoz, CEO of Hannover Re. “Thanks to our very healthy capitalisation, we were able to offer our clients more reinsurance protection at appropriate conditions.”
Sven Althoff, a member of Hannover Re’s Executive Board, noted that while reinsurance prices remain fair, increased competition for loss-free treaties led to price declines in some areas. Despite this, policy terms and deductibles remained mostly unchanged. He emphasized the importance of maintaining sustainable pricing, particularly as climate change and extreme weather events, such as the Los Angeles wildfires, pose ongoing risks.
Hannover Re’s premium volume in the Americas grew by 13.5%, with insurtech partnerships contributing to this growth. Many policies in the region will be renewed in June and July 2025. While the U.S. property insurance market remains strong despite pricing pressure, liability insurance saw some price increases. The recent wildfires near Los Angeles are expected to influence property insurance pricing and renewals later in the year.
Hannover Re expects to generate around €2.4 billion in net income for the 2025 financial year.
