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Munich Re logs record first-half profit, reiterates 2026 goal
The reinsurer lifted its investment result to €3.2 billion and kept its full-year profit target at €6.3 billion even as it trimmed 2026 insurance revenue guidance to €62 billion.
Munich Re reported a record net result of €3.9 billion for the first half of the year, up from €3.2 billion a year earlier, after posting a €2.2 billion net result in the second quarter. The company said it generated €1.9 billion of profit from reinsurance in Q2, including €1.3 billion from property and casualty reinsurance, where the combined ratio was 68.9%.
Major-loss spending totaled €191 million, or 4.9% of net insurance revenue, and the reinsurer said this level remained well below an expected 18%. At the July renewals, Munich Re reduced business volume by 9.1% to €2.9 billion as risk-adjusted prices declined 5.5%, explaining that it cut business that did not meet its pricing or terms requirements.
In life and health reinsurance, Munich Re reported a technical result of €528 million and said it completed its largest longevity transaction to date, covering €4 billion in pension liabilities. Global Specialty Insurance recorded an 88.9% combined ratio, while ERGO contributed €321 million in quarterly profit.
Munich Re’s investment result rose to €3.2 billion from €2.2 billion, producing a 5.5% return on investment. The company maintained its full-year profit target of €6.3 billion, but lowered its expected 2026 insurance revenue to €62 billion from €64 billion, and it also partnered with Mosaic Insurance on coverage for financial losses when AI models fail to meet defined performance thresholds, offering up to $15 million in capacity.