Munich Re Bank

Münchener Rückversicherungs-Gesellschaft AG (Munich Re) is a global pioneer in financial risk management, with its philosophy of "Innovating Risk Solutions for the Future" and demonstrating excellence in reinsurance, primary insurance and insurance-related risk solutions. Founded on April 19, 1880 by Carl von Thieme in Munich, Germany, with headquarters at Königinstraße 107, Munich, Bavaria, Germany. With €240 billion in assets under management, Munich Re is the world's largest reinsurer thanks to its industry leadership and innovation capabilities, serving insurers, corporations and government agencies worldwide.

basic bank information

Munich Re is a non-bank financial services institution, specifically a privately owned reinsurance company, founded on April 19, 1880, headquartered in Munich, Germany. Founded by Carl von Tame, the bank initially focused on reinsurance and expanded into junior insurance and risk solutions, entered the North American market in 1980 and strengthened its global leadership through digital transformation in 2000. Major shareholders include institutional investors (e.g. BlackRock, Norges Bank) and public shareholders, and the holding structure operates as an independent company. Munich Re is strictly regulated by the German Federal Financial Supervisory Authority (BaFin) and the EU regulatory framework, and is subject to the Insurance Supervision Act () and international financial standards to ensure operational transparency and the safety of client funds. Its insurance products are protected by the German deposit insurance scheme, and the maximum amount of coverage depends on the specific product. With 39,281 employees worldwide and operations in Europe, Asia, the Americas and Africa, Munich Re will remain stable in 2024.

deposit and financing products

depositsMunich

RE does not provide deposit products from traditional banks, However, through its insurance and investment products, it provides customers with savings-like financial protection solutions, based on a profit-sharing or fixed-income model:

Instant Access Products: Including annuity insurance and investment insurance, such as "ERGO Life Insurance", the minimum investment amount depends on the product, and the expected annualized rate of return (EPR) is about 0.5%-2.0%, and the latest rate needs to be confirmed by the insurance consultant. The product supports flexible access and is suitable for long-term wealth accumulation (insurance products).

• Regular investment products: support multiple currencies such as euros and US dollars, with investment horizons ranging from 1 to 30 years, with a minimum investment of 1,000 euros. In 2025, the expected rate of return varies according to the maturity, e.g. 1.0% for 1 year, 2.5% for 5 years, and 3.0%-4.0% for 10-30 years. Invest in low-risk assets (e.g. green bonds, renewable energy), and the profits are shared by the company and the customer in an agreed proportion.

• Featured products:

  • high-yield investment accounts: such as the "Renewable Energy Investment Plan", which offers an expected rate of return of up to 3.5%, and needs to maintain an investment of more than 10,000 euros, with part of the proceeds supporting renewable energy projects, Ethical investment philosophy (climate solutions).

  • Large-amount investment products: support flexible term, suitable for high-net-worth customers, the rate of return needs to be inquired by the consultant, and the early withdrawal penalty is 90 to 180 days of profit.
    Customers can check the rate of return through the Munich Re Markets Digital platform, and the investment products can be customized and some products provide free management fee discounts.

financing Munich

Re does not provide traditional loans, but instead supports customer needs through venture financing and capital markets solutions, based on an insurance or reinsurance model:

• Corporate Risk Solutions: Property & Casualty, Casualty & Climate Risk Solutions for companies with a 1 to 10-year maturity depending on the size of the project. In 2025, the annualized cost ratio will be as low as 3.5% (based on risk level), green financing discounts will be provided (such as low-carbon projects), and the application will require a corporate credit rating of BBB or above and an annual revenue of more than 1 million euros (corporate risk).

• Health Reinsurance: Provide health insurance reinsurance for medical institutions and governments, with a financing amount of up to 1 billion euros, a term of 1 to 5 years, an annualized cost ratio of about 4.0%-6.0%, and a credit rating of A or above.

• Personal risk protection: Individual health insurance and life insurance are provided through primary insurance (such as ERGO Life), with coverage amounts ranging from €1,000 to €5,000,000 for a period of 1 to 30 years, with an annualized cost rate of about 5.99%-10%, and an application threshold of more than €5,000 per year and a good health record.

• Flexible payment options: Risk financing allows customers to flexibly manage their insurance contributions by paying in advance without penalty and adjusting premium plans as needed.
  All financing is subject to approval by the Company and the client is required to provide financial records, risk assessment and asset information, the terms of which are subject to the insurance agreement. KIB's trade finance services (e.g. Istisna'a, Murabaha) provide additional support (reinsurance solutions) to SMEs.

digital service experience

Munich Re does not provide a mobile banking app for retail banking, but its professional digital platform "Munich Re Markets Digital" is the core of its digital services, aimed at insurance companies and corporate customers, available for download on iOS 14.0 and above and Android 9.0 and above devices, with an App Store rating of about 4.6 and a Google Play rating of about 4.4, users praise its fast loading (within 2 seconds), Intuitive interface and multi-language support (English, German, Chinese) (Markets Digital). Core functions include:

• risk assessment: support real-time risk modeling, combined with AI and big data analysis, to ensure investment security.

• Real-time transactions: The platform supports the signing of insurance contracts and the payment of premiums, with a daily transaction limit of up to 1 billion euros, and international payments covering more than 100 countries.

• Bill management: Support electronic bill generation, automatic deduction and transaction history classification, and update investment portfolios in real time.

• Investment Instrument Integration: Provide real-time market data and advisory services through the platform to support green bonds, renewable energy investments, and Sukuk trading.
  The online platform "Munich Re Online" supports multiple browsers and provides similar functions, allowing customers to register an account in less than 5 minutes. The platform supports accessibility features such as dynamic font adjustment and VoiceOver compatibility, making it suitable for visually impaired users. In 2023, around 60% of customers complete transactions through digital platforms, significantly improving the user experience (digital services).

technological innovationMunich

Re excels in the fintech space, driving technological advancements through its Digital Innovation Center:

• AI-driven risk assessment: Introducing AI systems to analyze climate, credit, and health risks, detect potential losses in real-time, automating 80% of risk assessments by 2023, and planning to launch virtual advisors in 2025 to support 24/7 risk consulting (AI solutions).

• Open API support: Comply with the EU Open Finance Framework, integrate with third-party service providers, provide interoperability for risk data management and investment services, and support 35 insurance and investment service APIs by 2024.

• Blockchain trade finance: Launch of a blockchain-based reinsurance platform in 2023 to simplify the contract execution process and improve transaction efficiency and transparency.

• Data privacy protection: 256-bit end-to-end encryption, GDPR compliant, disclosure of income tax payments in all tax jurisdictions, ensuring compliance (data protection).

• Other innovations: Partnering with AWS to optimize the trading system in the cloud; Invest €1 billion in 2024 to upgrade cloud technology and data analytics platforms to improve operational efficiency.

Featured Services & Differentiation

Munich Re is known for its innovative risk management and green finance solutions:

• Climate Risk Solutions: Addressing extreme weather and environmental challenges through data-driven models, supporting €3 billion in renewable energy investments in 2023, 10% of the portfolio (Climate Solutions).

• Green Finance: Issuing green bonds, participating in GFANZ, committing to achieve net-zero emissions by 2050 and a 15% increase in green investment by 2023.

• Enterprise Risk Management: Customized reinsurance for energy, infrastructure and technology companies with €50 billion (enterprise risk) underwritten in 2023.

• Data-driven innovation: Provide accurate risk pricing through AI and big data, and save customers 20% of premium costs in 2023.

• Community Contribution: Supporting education and sustainability projects through the Munich Re Foundation, donating €50 million in 2023 for community development, holding risk management seminars, and raising corporate risk awareness (Foundation).

market position and honors

Munich Re is the world's largest reinsurer, with total assets of about 240 billion euros (about 260 billion US dollars) and market capitalization of about 45 billion euros in 2024, ranking first in the global insurance industry. The company serves global insurers, corporations and government agencies, with a leading position in reinsurance, primary insurance and risk solutions. In 2023, the company reported an 8% increase in premium income, a 6% increase in investment income, and a non-performing asset ratio of less than 0.1%, indicating its solid operation. Munich Re's innovations in green finance and digital transformation keep it competitive in the global market. Its international business accounted for 60% of total revenue, with a strong presence in North America, Asia and Europe. Munich Re has won industry awards for many years in a row, including:

• No. 1 in the insurance industry in Fortune's "World's Most Admired Companies" in 2023.

• 2022 Global Green Finance Pioneer Award.

• Insurance Daily "Best Reinsurer" award 2021.
  Munich Re's innovative ability and global reach make it a stalwart of global financial risk management.

Munich Re is a pioneer in the global financial markets with its 145-year heritage, global risk management services and innovative financial products. While it does not offer traditional banking services, its insurance and investment products meet customer needs through local branches and digital platforms. Digital services are centered on the "Munich Re Markets Digital" platform, which provides efficient risk assessment and investment management functions. Technological innovations include AI-driven risk assessment, open APIs, blockchain technology, and data privacy protection, demonstrating the forward-looking nature of its digital transformation. With its climate risk solutions, green finance, data-driven innovation and multiple industry accolades, Munich Re continues to demonstrate strong competitiveness and influence in global financial markets.

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