Munich Re Group Annual Report 2006 (PDF, 1.8

Munich Re Group Annual Report 2006
Segment reporting
The ERGO Insurance Group has concluded profit-transfer agreements
with nearly all of its German insurance companies. In our segment
reporting, expenditure incurred as a result of profit transfer is
152
Consolidated financial statements_Segment reporting
Segment income statement Reinsurance
Life and health Property-casualty
2006 Prev. year * 2006 Prev. year *
€m €m €m €m
Gross premiums written 7,665 7,811 14,551 14,547
Thereof:
– From insurance transactions with other segments 751 859 760 848
– From insurance transactions with external third parties 6,914 6,952 13,791 13,699
1. Earned premiums
– Gross 7,667 7,852 14,805 14,643
– Ceded 391 456 1,010 1,078
– Net 7,276 7,396 13,795 13,565
2. Investment result
– Investment income 2,140 2,236 3,637 3,480
– Investment expenses 523 339 889 621
– Total 1,617 1,897 2,748 2,859
Thereof:
– Income from associates 6 51 33 208
3. Other income 297 272 557 487
Total income (1–3) 9,190 9,565 17,100 16,911
4. Expenses for claims and benefits
– Gross 5,932 6,358 9,526 12,490
– Ceded share 206 354 574 1,145
– Net 5,726 6,004 8,952 11,345
5. Operating expenses
– Gross 2,314 2,315 4,107 4,089
– Ceded share 158 87 261 262
– Net 2,156 2,228 3,846 3,827
6. Other expenses 386 228 816 455
Total expenses (4–6) 8,268 8,460 13,614 15,627
7. Result before impairment losses of goodwill 922 1,105 3,486 1,284
8. Impairment losses of goodwill – – – –
9. Operating result 922 1,105 3,486 1,284
10. Finance costs 96 80 161 212
11. Taxes on income 265 48 1,191 652
12. Consolidated result 561 977 2,134 420
Thereof:
– Attributable to Munich Re equity holders 561 977 2,134 420
– Attributable to minority interests – – – –
* Adjusted owing to first-time application of IAS 19 (rev. 2004).
deemed appropriation of net income. The segments are thus
adjusted to eliminate these expenses, the elimination being carried
out in the consolidation column.