Overall assessment of the economic situation

Bearing in mind the overall economic environment and specific conditions prevailing in the industry, the Management of Talanx AG assesses business performance in the year under review as satisfactory. There was a particularly strong increase in Group net income while gross premium and EBIT also grew again. Our divisions contributed to the result in different ways.

Industrial Lines and Retail International contributed significantly to gross premium growth, while Retail Germany and Retail International recorded exceptionally sharp increases in operating profit. The expense ratio remained within the expected range despite substantial major losses. Group return on equity was higher than targeted, with individual divisions varying in how well the target was met.

Structurally, the result remained well balanced. The Group is financially robust, and its solvency ratio continues to be significantly higher than is legally required. As at the date of drawing up the Management Report, the Board of Management rates the Group’s economic situation as sound.