10 March 2010
Published in: Cat risk - ILS
Chile quake hits European reinsurers hard
Swiss Re's losses from the Chilean earthquake and the European winter storm Xynthia equate to a hit on the company's earnings per share of 20-25% of the estimated 2010 consensus EPS of Sw fr5.9, said Bernstein Research today.
Swiss Re's loss estimates are $500m for Chile and $100m for Xynthia (pre-tax, but after retrocession to other reinsurers).
Munich Re's estimates for the Chilean losses are €400m and for Xynthia €100m (again, before retrocession and tax). Bernstein estimates net losses of €1.1 per share versus the consensus estimate for EPS for the 2010 financial year of €12.4, so "the loss is less material for Munich Re" notes Bernstein.