Swiss Re Ag · SIX:SREN
Swiss Re — Investor Presentation (April 2020)
13 slides from Swiss Re's investor presentation, Apr 7, 2020
Slide 1: Virtual Media Roundtable: sigma 02/2020 Natural catastrophes
Virtual Media Roundtable sigma 02/2020: Natural catastrophes in times of economic accumulation and climate change Swiss Re, 7 April 2020
Slide 2: Climate Action Plan within Group Sustainability Strategy
Climate change continues to be an essential element in Swiss Re’s enhanced Group Sustainability Strategy and so we developed a Climate Action Plan 3 key objectives Examples Key 2019 achievements • Insurance USD 10 bn for peak perils (eg tropical cyclones) Leading solutions on physical • Insurance co
Slide 3: In a nutshell: catastrophe insured losses in 2019
In a nutshell: catastrophe insured losses in 2019 Cat Insured losses in USD billion (2019 prices) • Lower cat losses than 2017/18 due to the absence of severe hurricanes 160 in the US 145 140 • Key events: 120 – Severe typhoons in Japan: Hagibis and Faxai were the biggest losses of the year 100 84 –
Slide 4: GDP normalisation at today's level: economic development matters a lot
GDP normalisation at today’s level: economic development matters a lot • Normalizing the global NatCat losses with 2019 GDP level shows that economic developments is a key driver of losses • Climate change acts as an amplifier. But it will play an increasing role in the next decades • More research
Slide 5: The key drivers of rising weather-related losses
The key drivers of rising weather-related losses A • Urbanisation/economic development: the most important drivers for rising NatCat economic/insured losses due to increased asset values and concentration of risk B • Insurance penetration: rising coverage contributes to more insurance payouts, which
Slide 6: Taking stock on 2019 weather disasters
Taking stock on 2019 weather disasters: Urban development, mixed mitigation and climate change create a quickly changing risk landscape Wildfires in Typhoons in Cyclone Idai in Australia Japan Mozambique Insured losses USD Insured losses Insured losses 1.5bn USD 15bn USD 0.15bn >USD 3bn economic los
Slide 7: Weather risk remains insurable, but the past is not a good measure
Weather risk remains insurable, but the past is not a good measure for the future. Historical modelling bias Years 2017, 2018 and 2019 challenged the industry paradigm 7
Slide 8: Why does it matter?
Why does it matter? Losses from weather-related catastrophes, 1980-2019, in USD bn, 2019 prices Upholding insurability in times of change is demanding but needed to maintain current levels of financial resilience AND further narrow the protection gap 8
Slide 9: Any questions?
Any questions? Jerome Jean Haegeli | April 2020 9
Slide 10: Thank you!
Thank you! Contact us Follow us Edi Schmid Jerome Jean Haegeli Martin Bertogg Chairman Swiss Re Institute, Group Chief Economist Head Cat Perils Group Chief Underwriting Officer 10
Slide 11: Backup: Modelling climate change comes with many uncertainties
Backup: Modelling climate change comes with many uncertainties Insurance impact, Driver for change Effects/perils Time horizon focus on property cat DIRECT Global Warming Response INDIRECT 11
Slide 12: @ Swiss Re Institute
@ Swiss Re Institute 12
Slide 13: Legal notice
Legal notice ©2019 Swiss Re. All rights reserved. You may use this presentation for private or internal purposes but note that any copyright or other proprietary notices must not be removed. You are not permitted to create any modifications or derivative works of this presentation, or to use it for