ELARUSIAN NATIONAL REINSURANCE RGANIZATION

BELARUSIAN NATIONAL REINSURANCE ORGANIZATIONREPUBLICAN UNITARY ENTERPRISE

ACHIEVING SUCCESS TOGETHER

ABOUT US

Belarusian National Reinsurance Organization hereinafter referred to as Belarus Re

is the only reinsurance-specialized company in Belarus.

Belarus Re is 100% state-owned company which was established on 4 November 2006

by virtue of decree No 1463 issued by Council of Ministers of Belarus

BusinessPrinciples

Strategic

Goal

MissionStatement

To create an international reinsurance company, offering a full range of reinsurance services and

providing clients with comprehensive high-standard protection

Responsibility, confidence and transparency in

relation to clients and associates

To provide top-quality reinsurance services and

do business fairly

Our staff is a main resource allowing to achieve

high performance results, gain

competitive advantage and

encourage further development

To develop insurance infrastructure of Belarus

To create national reinsurance system

To improve the status of Belarus on the

international insurance

and reinsurance markets

INTRODUCTION

PARTNERS

Belarusian Insurance Companies Foreign Insurers and Reinsurers

Brokers

INTRODUCTION

BELARUS RE ACHIEVING SUCCESS TOGETHER3

BELARUSIAN INSURANCE MARKET STRUCTURE

BELARUSIAN INSURANCE MARKET

19 Operating Companies (1 Reinsurance-specialized)

16 Non-life Insurance

3

State-

owned

4

With 50%+

state-

participation

9

Private

3 Life Insurance

1

State-

owned

2

Private

30

Insurance

Brokers

Participants

Business

Specialization

Ownership

Form

DOMESTIC MARKET


BELARUSIAN INSURANCE MARKET PECULIARITIES

Insured

Belarusian

Insurer

(Reinsured)

Belarus Re

(Reinsurer /

Retrocedant)

Foreign Reinsurer

(Retrocessionaire)

□ All undertaken liabilities under each contract of voluntary non-life insurance, exceeding the

fixed limit (20% of its equity capital) shall be transferred to Belarus Re;

□ Belarus Re is the sole company which cooperates with foreign insurance and reinsurance

companies (brokers) on placing risks insured on the territory of the Republic of Belarus;

□ Insurance companies’ tariff policy and conditions upon obligatory reinsurance treaties are

coordinated with Belarus Re;

□ Life reinsurance is not permitted;

□ Fronting is forbidden.

Thus, the legislation system provides means for insurance market stability and optimal

risk distribution through reinsurance

DOMESTIC MARKET


CORE FIGURES

2012 2013 2014 2015

Quantity of contracts 8 955 8 617 9 154 9 737

Premium written 255 843 361 545 337 419 487 996

Premium received 232 711 322 748 345 517 510 389

Premium ceded 114 869 187 752 163 627 222 038

Indemnity paid 19 579 38 231 34 010 74 319

Liability accepted 251 532 899 240 292 074 364 133 400 528 134 120

Actuarial reserves 90 739 147 700 266 969 356 113

Authorized fund 1 189 703 1 226 841 1 307 001 1 416 963

Net worth 1 255 200 1 342 238 1 417 648 1 526 919

Net profit 74 239 118 682 76 792 109 892

Solvency Margin 1 220 700 1 300 589 1 380 274 1 482 989

Combined Ratio, % 29.0 26.0 26.7 30.2

BYR ‘000 000

PERFORMANCE in 2012 – 2015


CORE FIGURES DYNAMICS



Ceded

Written

2012 2013 2014 2015

206725 736

153084 135

233 643 841

479 985 175

251701 929 240292 074

364 133 400

528 134 120

BYR

'00

0 00

0 Liability

Ceded

Written

2012 2013 2014 2015

114 869

187 752 163 627

222 038

255 843

361 545 337 419

487 996BYR

'000

000

Premium

WRITTEN PREMIUM STRUCTURE DYNAMICS



201 2 201 3 201 4 201 5

1 0.8% 6.40% 1 0.05% 1 1 .84%

89.2% 93.60% 89.95% 88.1 6%

Via Brokers Direct Cessions

201 2 201 3 201 4 201 5

32.55%20.1 3% 27.58% 22.45%

67.45%79.87% 72.42% 77.55%

Treaty Facultative

201 2 201 3 201 4 201 5

76.87%60.28%

76.53%64.28%

23.1 3%39.72%

23.47%35.72%

Voluntary Compulsory

INWARDS REINSURANCE PORTFOLIO BY LINES OF BUSINESS

GROSS PREMIUM LIABILITY WRITTEN*


PERFORMANCE in 2015

Property30.96%

Financial risks25.56%

Aviation14.76%

Green Card8.18%

EAR5.17%

Other4.77%

CAT XL3.23%

Cargo2.50%

Motor Hull2.05%

TIR Convention1 .55%

Space Risks1 .27%

Aviation70.17%

Property21 .98% Cargo

2.30%

EAR1.92%

Other1 .88%

Financial risks1 .13%

Motor Hull0.62%

* The following diagram doesn’t take into account the Green Card cover (the limit of liability under this program is unlimited).

OUTWARD REINSURANCE PORTFOLIO BY LINES OF BUSINESS

PREMIUM CEDED LIABILITY CEDED*


PERFORMANCE in 2015

Property33.21 %

Aviation31 .75%

Green Card1 3.35%

EAR7.72%

Other3.07%

Cargo2.75%


TIR Convention2.1 3%

CAT XL1 .76%

Space Risks1 .54%

Aviation88.46%

Property7.63%

EAR1.96%

Cargo0.88%

Other0.82%

Green Card0.14%


* The following diagram doesn’t take into account the Green Card cover (the limit of liability under this program is unlimited).

OUTWARD REINSURANCE PORTFOLIO


PERFORMANCE in 2015

SOGAZ28%

Lloyds syndicates20%

Insurers of Belarus10%

Foreing insurers and Reinsurers company

8%

SWISS RE7%

Other insurers and Reinsurers of Russia

5%

HANNOVER RUCKVERSICHER…

VIENNA INSURANCE

GROUP 3%

ALLIANZ GLOBAL CORPORATE & SPECIALTY AG

3%SCOR

3%

PARTNER REINSURANCE

EUROPE LIMITED2%

VTB INSURANCE LTD2%AMLIN

CORPORATE INSURANCE plc

2%

INSURANCE COMPANY EVRO-POLLICY

1%

UNITY RE1%

MUNICH RE 1%

MAX RETENTION LIMITS

Class of BusinessFacultative Reinsurance,

USD

Treaty Reinsurance,

USD

Property 20 000 000 2 000 000

CAR/EAR 20 000 000 2 000 000

Cargo 10 000 000 2 000 000

Aviation/Marine Hull (per each vessel/aircraft) 1 000 000 500 000

Launch of spacecraft 500 000 500 000

Orbital operation of spacecraft 500 000 500 000

Motor Hull (per each vehicle) 300 000 300 000

Third Party Liability:

• Civil liability of aircraft owners 6 000 000 6 000 000

• General liability for spacecraft launch 5 000 000 5 000 000

• Manufacturers civil liability insurance 1 000 000 1 000 000

• Civil liability of hazardous organizations 2 000 000 2 000 000

• Third party civil liability insurance 5 000 000 5 000 000

• Civil liability of carrier and forwarder 1 000 000 1 000 000

RETENTION POLICY


PREMIUMS/INDEMNITIES STRUCTURE

LOSSES


BYR ’000 000

487 996.0

22 961 .0

51 358.0

74 31 9.0

2015

Indemnity Premium received Share of Retrocessionaires Share of Belarus Re

337 41 9.0

7 1 05.0

26 905.034 01 0.0

2014

361 545.0

9 329.0

28 902.0

38 231 .0

2013

TOP LOSSES


Sum (USD) Date Details of the loss Reinsured Insured

1 960 000 14.02.2008Total loss of CRJ-100LR Aircraft while taking off. (Zvarnots

airport, Armenia)

PromtramsinvestBelavia

1 500 000 10.2011 Damage caused by flood (Thailand) Chaucer Syndicate 1084

1 309 545 19.09.2013The damage caused by the flooding at Zagorskaya PSP-

2 during construction (Russia)SOGAZ

OJSC Federal generating company

RusHydro

592 372 08.08.2008Liability Green Card. Damage to life and health caused as a

result of accident (Italy)Belgosstrakh «Pharvesttrans»

510 000 30.05.2013Business interruption caused by collapse of railway bridge

across the Abakan river due to landslipIngosstrakh RUSAL

500 437 22.04.2013 Total loss of spacecraft “SICh 2” due to loss of power supply Rosles Re SK Provita

500 000 18.08.2011 Express-AM4 Satellite insertion failure Ingosstrakh RSCC

AVIATION RISKS REINSURANCE

Since 2007 Belarus Re has been providing aviation risks reinsurance,including risks of national air carriers:

Belavia – Belarusian Airlines and Transaviaexport Airlines

National carriers’ air fleet:

Boeing 737-300/500 (15 Aircrafts)CRJ-100/200 LR (4 Aircrafts)

Embraer 175 (2 Aircrafts)Embraer 195 (2 Aircrafts)

Boeing 737-800 (2 Aircraft)

Boeing-767-300ER (1 Aircraft)Challenger - 850 CL-600-2819 (1 Aircraft)

Тu-154 (3 Aircrafts)IL-76 TD (5 Aircrafts)

Risks are placed on facultative quota share basisPlacing broker – JLT Specialty Limited/ AXIOM INRE Insurance Brokers

Limits of liability under reinsurance contracts:

Aviation hull – up to 43,0 m USD Airline liability – up to 750 m USD

Retrocessionaires:

Lloyd’s Syndicates Assicurazioni Generali S.p.A.

Allianz Global Corporate & Specialty AG Swiss Re

Partner Re Munich Re

Aviabel Aspen Insurance UK Limited

SOGAZ General Insurance Corporation of India

Korean Reinsurance Company VTB Insurance LTD

RETROCESSION


PROPERTY, ENGINEERING AND CARGO RISKS

RETROCESSION


*Basis of the treaty – excess of loss basis per risk/ per event

GREEN CARD CERTIFICATES REINSURANCE

* Basis of the treaty – excess of loss basis per risk/ per event

**Given Net Retention volume is for a whole Belarusian insurance market

RETROCESSION


REINSURANCE WITHIN T.I.R. CONVENTION

RETROCESSION


*Type of contract – quota share treaty

14-2, Chkalov Str., 220039 Minsk, Belarus

Web address www.belarus-re.com

Mail to [email protected]

Director General

Reinsurance Division

Actuarial Department

Loss Settlements Department

Analysis & Risk Management Dept.

Accounting Department

tel./fax: (+375 17) 256 07 11

tel.: (+375 17) 256 04 11

fax: (+375 17) 256 05 77

tel.: (+37517) 256 05 06

tel.: (+37517) 224 42 79

tel.: (+37517) 256 06 23

tel.: (+37517) 256 05 93

BELARUS RE

CONTACT INFORMATION

BELARUSIAN NATIONAL REINSURANCE ORGANIZATIONBELARUS RE ACHIEVING SUCCESS TOGETHER19

http://www.belarus-re.com/

THANK YOU

BELARUS RE ACHIEVING SUCCESS TOGETHER

Documents

ELARUSIAN NATIONAL REINSURANCE RGANIZATION