Over the period of its operation in 2019, Belarus Re entered into 11,701 reinsurance contracts on 50 classes of business. The majority of the contracts have been concluded for cargo insurance – 2,849, export contracts – 2,379, aircraft insurance – 2,236, property of the enterprises – 1,206, contracts for civil liability of haulier and forwarder – 957, land transport of enterprises insurance contracts – 639, land transport of the individuals – 255.
The total amount of liability accepted was 90.3 billion rubles. The biggest part in the total amount of liability accounted for the following insurance:
- Aviation – 67.1%
- Corporate property – 20.5%
- CAR/EAR- 3.7%
- Cargo – 3.5%
- Financial risks – 1.0%
- Others – 4.2%
Totally, reinsurance premium amounting to 95,137.6 thousand rubles was written under inwards contracts (incl. 0.9 thousand rubles under insurance contracts), that is 763.6 thousand rubles or 0.8% more than in 2018.
In the total amount of reinsurance premium received, the biggest part was taken by the reinsurance of:
- Corporate property – 32.5%
- Financial risks (including export risks, credit risks, bond issuer) – 25.6%
- Aviation – 13.5%
- CAR/EAR – 13.1%
- Cargo – 2.3%
- others – 13.00%
75.9% of reinsurance premiums written accounted for facultative reinsurance and 24.1% for treaty.
The volume of premium ceded to retrocession amounted to 37,539.4 thousand rubles, including on
- Aviation risks – 10,713.7 thousand rubles,
- CAR/EAR- 10,695.0 thousand rubles,
- Property risks – 7,402.8 thousand rubles
- Financial risks – 4,782.5 thousand rubles
- Cargo Risks – 991.0 thousand rubles,
- others – 2,954.4 thousand rubles.
For 2019, the insurance indemnity was paid for 31,962.2 thousand rubles, with the loss ratio of 33.6%, and 6,361.7 thousand rubles was paid by the Retrocessionaires. The combined ratio in 2019 was 60.0%.
The profitability level of financial and economic activities was 10.7%. The net profit amounted to 12.7m rubles in 2019. This allowed the company to take the first position in the insurance market of the Republic of Belarus.
In comparison with 1st January 2019, the amount of the owned capital increased by 9.7m rubles and amounted to 189.2m rubles as of 1st January 2020.
The authorized fund of the company was 177.8m rubles as of 1st January 2020.
Within the obligatory transfer of liabilities, specified by the legislation, undertaken under voluntary non-life insurance contracts, exceeding the stated amount of liability, the premium written by the state enterprise for 2019 amounted to 33,640.1 thousand rubles received from the insurance companies of the Republic of Belarus. That made 35.4% of the total amount of reinsurance premium written. Under liabilities reinsurance contracts, not requiring their obligatory cession to the state reinsurer, the reinsurance premium was written in the amount of 61,497.5 thousand rubles or 64.4% of the total amount of premium written.
In 2019, RUE “Belarusian National Reinsurance Organization” provided reinsurance protection for the following companies of the Republic of Belarus:
- Gazprom Transgaz Belarus JSC
- Belarusian Potash Company JSC
- Belavia Belarusian Airlines
- Transaviaexport Airlines RUE
- Mozyr Oil Refinery JSC
- Naftan JSC
- Belarusbank JSC
- Bank BelVEB JSC
- Belinvestbank JSC
- Belagroprombank JSC
- BSW – Management Company of “BMC” Holding JSC
- Belorusneft RUE
- Minsk National Airport RUE
- National Library SE
- Alivaria Brewery JSC
- Lidskae Beer JSC
- Promagroleasing JSC
- Coca-Cola Beverages Belorussiya FE
- Santa Bremor JV LLC
- Velcom FE
- VMG Industry FLLC
- Stadler Minsk CJSC
- Falcon Investment Company
- ALUTECH Group of Companies and others
In 2019, the cooperation of RUE “Belarusian National Reinsurance Organization” with foreign insurance, reinsurance companies and insurance brokers provided the formation of 2,967 outward reinsurance contracts (abroad) and 4,546 inward reinsurance contracts (from abroad). The volume of reinsurance premium written from foreign cedents amounted to 24,960.3 thousand rubles with 61.5% growth in comparison with 2018.
In 2019, the Cooperation Agreements in the sphere of risks reinsurance were negotiated with the following insurance and reinsurance companies:
- KAFOLAT Insurance Company JSC (Uzbekistan)
- Europa Re Ltd (Switzerland)
In addition, the Cooperation Agreements were negotiated with the following brokers:
- Malakut Insurance Brokers (Asia) Limited (Malaysia)
- Beacon Insurance Brokers PVT. LTD (India)
- Kay International plc (Great Britain)
- UlysseRe (Latvia)
- Alesco Risk Management Services Limited (Great Britain)
As a part of compliance with transparency policy and bringing financial statements in line with the generally accepted international standards, the cooperation with the auditing company KPMG and Fitch Ratings was continued (Insurer Financial Strength (IFS) Rating upgraded to “B”. The Outlook is Stable. 20 September 2019. Fitch Ratings).