Munich Re Group Annual Report 2006 (PDF, 1.8

Munich Re Group Annual Report 2006 Consolidated financial statements and notes
Consolidated financial statements
Consolidated balance sheet 142
Consolidated income statement 144
Statement of recognised income and expense 145
Group statement of changes in equity 146
Consolidated cash flow statement 147
Segment reporting 148
– Segment assets 148
– Segment equity and liabilities 150
– Segment income statement 152
– Investments 154
– Gross premiums written 155
Notes to the consolidated
financial statements
Application of International Financial Reporting
Standards (IFRSs) 156
Declaration of conformity with the German Code of
Corporate Governance as per Section 161 of the
German Stock Companies Act 156
Figures for previous years 156
Consolidation 156
Recognition and measurement 157
Changes in accounting policies 157
Standards or changes in standards not yet entered into force 158
Assets
(A) Intangible assets 159
(B) Investments
(C) Investments for the benefit of life insurance policyholders
159
who bear the investment risk 160
(D) Ceded share of technical provisions 160
(E) Receivables 160
(F) Cash at bank, cheques and cash in hand 160
(G) Deferred acquisition costs 160
(H) Deferred tax assets 160
(I) Other assets 161
Equity and liabilities
(A) Equity 161
(B) Subordinated liabilities 161
(C) Gross technical provisions
(D) Gross technical provisions for life insurance policies
161
where the investment risk is borne by the policyholders 163
(E) Other accrued liabilities 163
(F) Liabilities 163
(G) Deferred tax liabilities 163
Foreign currency translation 164
Notes to the consolidated balance sheet – Assets
(1) Goodwill 165
(2) Other intangible assets 167
(3) Land and buildings, including buildings on third-party land 167
(4) Investments in affiliated companies and associates 168
(5) Loans 168
(6) Other securities held to maturity 169
(7) Other securities available for sale 170
(8) Other securities held for trading 171
(9) Deposits retained on assumed reinsurance 173
(10) Other investments 174
(11) Ceded share of technical provisions 174
(12) Receivables 174
(13) Deferred acquisition costs 175
(14) Deferred tax 176
(15) Other assets 176
(16) Non-current assets and disposal groups held for sale 177
Notes to the consolidated balance sheet – Equity and liabilities
(17) Equity 178
(18) Subordinated liabilities 180
(19) Unearned premiums 180
(20) Provision for future policy benefits 181
(21) Provision for outstanding claims 182
(22) Other technical provisions
(23) Gross technical provisions for life insurance policies
186
where the investment risk is borne by the policyholders 187
(24) Other accrued liabilities 187
(25) Bonds and notes issued 192
(26) Deposits retained on ceded business 192
(27) Other liabilities 192
Notes to the consolidated income statement
(28) Premiums 193
(29) Investment result 194
(30) Other income 195
(31) Net expenses for claims and benefits 196
(32) Operating expenses 197
(33) Other expenses 197
(34) Finance costs 197
(35) Taxes on income 198
Disclosures on the uncertainties of future cash flows
from insurance contracts
(36) Risks from insurance contracts in the life and health
segment 200
(37) Risks from insurance contracts in the property-casualty
segment 203
(38) Risks from reinsurance and retrocessions 206
Other information
(39) Parent 207
(40) Related parties 207
(41) Personnel expenses 207
(42) Long-term incentive plans 207
(43) Remuneration report 209
(44) Employee share-ownership programmes 209
(45) Number of staff 210
(46) Auditor’s fees 210
(47) Contingent liabilities, other financial commitments 210
(48) Leasing 211
(49) Events after the balance sheet date 211
(50) Earnings per share 211
(51) Proposal for appropriation of profit 212
Affiliated companies, participating
interests and other shareholdings 213
Auditor’s report 216
141
Financial statements