Full year 2021 Key Financial Highlights¹

• Gross written premiums were USD2,145 million, up 9% from FY2020
• Net profit reached USD73.2 million
• Total equity was USD1,470 million, compared to USD1,487 million in FY2020
• Investment income return was 3% with total asset under management at USD2.8 billion
• Management expense ratio remained at a low level of 3.3% and technical combined ratio at 98.6%

Hong Kong, 4 July 2022 – Peak Reinsurance Company Limited (“Peak Re” or the “Company”), the Hong Kong-based global reinsurer, released its 2021 annual results today. The Company reported that its gross written premiums has risen to USD2,145 million in 2021, up from USD1,966 million in 2020². Net profit for the year was USD73.2 million, compared to USD87.1 million in 2020.

“Multiple severe natural disasters were a key feature that underpinned the 2021 performance of the global reinsurance industry and Peak Re’s Property & Casualty (“P&C”) business,” said Franz Josef Hahn, Chief Executive Officer of Peak Re. “But the Company’s strong analytical capability to discern risks and a globally diversified portfolio helped mitigate the financial impacts.” Meanwhile, the Company’s Life & Health (“L&H”) reinsurance business expand strongly and accounted for 11% of total gross written premiums of the Company in 2021. Over the year, Peak Re reported stable revenue growth in Asia Pacific and healthy premium increases in the Americas and EMEA³. In 2021, 55% of the Company’s revenue (based on gross written premium) was generated from Asia Pacific, 33% from the Americas, and 12% from EMEA.

 “A solid capital base and diversified portfolio allowed Peak Re to tackle a tumultuous year with finesse and emerge stronger,” said Cathy Chen, Chief Financial Officer of Peak Re. The Company’s total equity reached USD1,470 million as of 31 December 2021, which is instrumental in supporting the growth of our P&C and L&H reinsurance businesses. In addition, the Company’s solvency ratio was 320%⁴ as of 31 December 2021, adequately above the statutory requirement on the Hong Kong Insurance Ordinance (“HKIO”) basis.

Peak Re’s Achievements and Strategic Developments in 2021

• Recorded ninth straight year of premium growth
• Entered the longevity business in the UK
• Completed third Lion Rock Re sidecar transaction, raising USD107 million of third-party capital
• Reached a definitive agreement to acquire the remaining 50% issued share capital of the Caribbean insurance group NAGICO Holdings Limited and its subsidiaries, subject to regulatory approvals and other customary closing conditions
• Ranked 27th in S&P Global Ratings’ Top 40 Global Reinsurance Groups in 2021 (by net reinsurance premiums written)⁵
• Maintained a seven-year track record of over 90% of claims settled within five days

The coming December will mark the 10th year of operations of Peak Re. Franz Josef Hahn, Chief Executive Officer of Peak Re, said that “Peak Re has come a long way since its beginning 10 years back. With a firm foothold in China and expanding elsewhere in Asia and around the globe, our clients have come to respect us for who we are and what we want to be. We remain committed to partnering with our clients to support their endeavours.”

All financial statements in the Peak Re Annual Report 2021 were independently audited by Ernst & Young. To download the full Annual Report, please visit Peak Re Annual Report 2021.

Note to Editor

¹All figures that refers to “2021” or “FY2021” in this release are based on audited Consolidated Financial Statements as of 31 December 2021, unless otherwise stated

² All figures that refers to “2020” or “FY2020” in this release are based on audited Consolidated Financial Statements as of 31 December 2020, unless otherwise stated

³ EMEA refers to Europe, Middle East and Africa

⁴ The solvency ratio of Peak Reinsurance Company Limited as of 31 December 2021 is on the Hong Kong Insurance Ordinance’s basis

⁵ Source: S&P Global Ratings’ Top 40 Global Reinsurance Groups 2021 by Net Reinsurance Premiums Written