01 Gothaer Konzern_E_09_Umschl - Gothaer Allgemeine ...

Management Report
ASSTEL Sachversicherung AG addresses the direct insurance market. The property and
casualty products offered – as repeatedly confirmed by consumer publications – occupy
an outstanding position in the market.
Despite facing vigorous competition, the company again increased its gross premiums
writtenby3.2%to€36.0 million. Earned premiums net of reinsurance grew by 3.7 % to
€29.6 million. The retention rate remained unchanged at 83.0 %.
At 20,439 (PY: 19,171), the number of new insurance claims registered in 2009 was
slightly up on the prior year. Gross losses incurred mirrored this development, rising
from €34.6 million to €35.6 million. Losses incurred net of reinsurance increased to
€26.6 million (PY: €23.4 million). As a result, the net loss ratio moved up from 81.9 % to
89.9 %.
Gross underwriting expenses in the year under review, at €8.0 million, remained on a par
with the prior year. As a result of the increase in premium income, the gross cost ratio
improved from 23.0 % to 22.2 %.
Owing to the upturn in losses incurred, the net underwriting loss before adjustment
of equalization reserves increased from €2.3 million in 2008 to €4.5 million in
the year under review. The sum of €0.2 million was withdrawn from equalization reserves,
as a result of which the underwriting account showed a loss of €–4.3 million
(PY: €–3.9 million) after adjustment of equalization reserves.
On the investment front, developments were defined by the financial market crisis and
sharply fluctuating markets. The carrying value of the investment portfolio of ASSTEL
Sachversicherung AG increased by around 3.3 % to €44.7 million. Investment result, at
€1.9 million, was moderately lower than in 2008 and the net yield on investments was
4.4 % (PY: 5.2 %).
Overall, ASSTEL Sachversicherung AG made a net loss after taxes of €3.6 million, which
was balanced under the terms of the profit transfer agreement concluded with Gothaer
Finanzholding AG.
Gothaer Group Annual Report 2009 49