German reinsurance giant Munich Re doubled its profit in the third quarter, despite the Covid-19 pandemic and the impact of historic storms, the company said Tuesday.
Munich Re posted a net profit of 400 million euros ($465 million) for July to September, compared with 200 million euros in the same period in 2020, at the height of the pandemic, according to preliminary results.
Floods that swept through western Europe in July, leaving more than 200 people dead, cost the Munich-based group “roughly 600 million euros”, it said.
The reinsurer was also burdened with costs of around “1.2 billion euros” following Hurricane Ida, which caused flooding and destruction in parts of Louisiana and the northeastern United States.
But the group, whose main business is cushioning other insurers against risk, said it still anticipated meeting its profit target of 2.8 billion euros for 2021.
Munich Re booked a net profit of 1.2 billion euros in 2020, during which the pandemic cost the group 3.4 billion euros.
The profit prediction for 2021 takes into account “higher Covid-19-related losses for life and health reinsurance”, the company said.
The full results for the third quarter will be published November 9.