R+V Versicherung AG Annual Report

Overall, gross premium income declined by
€105.5 million, or 49.9%, from €211.6 million
to €106.1 million. Net income after
retrocessions amounted to €103.4 million,
compared with €128.2 million in the previous
year (–19.3%).
Among the individual classes of motor
insurance, domestic business performed
almost in parallel. In the case of motor vehicle
liability insurance, the gross premium
volume fell by €74.4 million, or 68.4%, from
€108.8 million to €34.4 million, while the net
amount was down €18.8 million, or 35.0%,
from €53.7 million to €34.9 million.
Developments in the motor vehicle class
were similar, with gross premium volumes
of €47.0 million in the previous year down
to €17.5 million in the fiscal year (–62.9%).
Retained premiums amounted to €17.4 million
after €23.5 million in the previous year
(–26.1%).
Foreign business performed differently
across the various classes. Premiums in
the motor vehicle liability insurance class
declined by €6.9 million, or 13.5%, to €44.1
million (gross) and €5.0 million, or 10.6%, to
€42.1 (net). In contrast, gross premiums in
the motor vehicle class increased by €5.3
million from €4.8 million to €10,1 million
(122.4%) while net premiums rose by
€5.1 million, or 131.3%, from €3.9 million
to €9.0 million.
Motor vehicle liability insurance recorded a
loss in both domestic and foreign business;
the figure of €18.1 million exceeded the
prior-year loss by €8.8 million. After withdrawals
from the equalization provision, the
loss fell to €10.3 million (previous year:
€–14.9 million).
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Motor vehicle cover also generated losses,
in both domestic and foreign business.
Provisions for the devastating effects of the
flood damage to many regions of Germany,
Austria and the Czech Republic in August
2002 impacted results. At €2.3 million, the
loss incurred in the fiscal year was much
greater than that recorded in the previous
year (€–1.0 million). Following withdrawals
from the equalization provision, a slight
profit of €0.1 million was generated (previous
year: €–0.9 million).
The overall balance on technical account in
the motor insurance class was once again
negative at €–20.4 million (previous year:
€–10.3 million). After the withdrawal from
the equalization provision, the loss fell to
€10.2 million (previous year: €–15.8 million).
Fire
Strong growth in foreign business –
Increased claims expenses impacted result
for the fiscal year
Gross premium income from fire insurance
experienced strong growth during the fiscal
year. The premium volume improved by
€40.1 million, or 32.5%, from €123.7 million
to €163.8 million. This development was
principally attributable to foreign business.
While domestic business rose by €2.5 million,
or 9.2%, from €27.6 million to €30.1
million, foreign business experienced
above-average growth with premium
increases of €37.6 million, or 39.2%, to
€133.7 million. After retrocessions, retained
premiums from domestic business rose by
€2.1 million, or 12.0%, to €19.3 million,
while a premium volume of €106.0 million
was retained from foreign business. This
corresponded to a growth rate of 41.2%.
The share of premium income attributable
to foreign business increased to 81.6%, up
from 77.7% the previous year.