Record results for Allianz

by David Masters

Story link: Record results for Allianz

German insurance and reinsurance mega-company Allianz Group have reported a net income growth of 13.5% for 2007 in spite of a difficult environment.

The company attributed its strong growth to a low level of catastrophe claims.

Allianz’s net income increased from €7.021 billion in 2006 to €7.996 billion in 2007.

The group also owns the German investment bank Dresdner, which saw a fall in operating profits of 45% to €730 million compared to €1.4 billion in 2006. This fall was due to a subprime writedown for the bank of €1.3 billion.

The company’s health and life division saw increases of 21%, from €1.643 billion in 2006 to €1.991 billion. Its property and casualty division was up 9% from €4.746 billion in 2006 to €5.174 billion. However, its combined ratio for the year increased 0.7% to 93.6%.

CEO of Allianz SE, Michael Diekmann, said of the results: “Despite challenging conditions in 2007, we were able to further improve our operating efficiency and profitable growth, and to achieve a record result for the year.

“Thanks to the well-diversified business activities of the Group, we were less vulnerable to shocks and cycles in individual markets and segments.”