Russian National Reinsurance Company has summarized its performance in Q1 2017 - the first reporting period upon the effective date of the law on obligatory 10% cession (FZ no.363). As a result, the written premiums of RNRC in January – March amounted to RUB 1.3 billion and its earned premium amounted to RUB 297.4 billion.
The net profit based on the results of the Quarter is RUB 435.2 billion. The result of RNRC insurance business is RUB 129.4 billion or RUB 23 million net of its operating expenses. The profit from investments reached RUB 488.5 million. The return on investment amounted to 9.3% per annum.
The Company’s equity capital increased to RUB 22.2 billion and its assets - to RUB 23.7 billion.
In the first quarter of 2017, RNRC received 2,529 reinsurance slips (offers), 1,214 of which were accepted.
Reinsurance premiums were written under 1,313 contracts including 1,189 facultative contracts and 124 treaty reinsurance contracts.
66% of written premiums fall on corporate property insurance including CAR and space risks. 12% refer to insurance of business and financial risks. The share of liability business is 8% and the shares of cargo insurance and aviation risks are 5%. The share of the remaining types is less than 10% in RNRC portfolio.
71% of premiums were written under facultative contracts, 91% of which were concluded on proportional basis. Treaty contracts account for 29% of the portfolio, 68% of the treaty contracts are non-proportional.
RNRC share under 26% of all concluded contracts is more than 10%.
In total, RNRC is planning to collect reinsurance premiums in the amount of RUB 7.5 billion this year.
“Russian National Reinsurance Company” Joint-Stock Company was founded by virtue of Federal Law no.363-FZ “On amendment of the RF Law “On Insurance Business in the Russian Federation”, by decision of the Board of Directors of its sole shareholder, the Central Bank of Russia, which owns 100% of the Company shares. Paid-up capital of the Company is 21.3 billion roubles. Reinsurance License ПС no. 4351 dd. 12.10.2016.