9.7 Events after the balance sheet date
As notified in a press release dated 23 February 2009, the acquisition announced on 23 January 2009 of a significant US individual life reinsurance portfolio under a reinsurance and asset purchase transaction with Scottish Re Group Limited, Hamilton, Bermuda, has been completed. Hannover Re will assume all technical liabilities associated with the business and will in turn receive assets to fund those liabilities from Scottish Re. In addition to assuming the business, Hannover Re will acquire the policy administration systems of Scottish Re as well as other assets supporting the US mortality reinsurance business. The acquisition includes all operating assets required to administer the business. Hannover Re will also employ part of Scottish Re's staff, thus ensuring operational continuity and a transfer of know-how. In 2009 this business is estimated to generate a premium volume of around USD 1.2 billion. The acquisition of the portfolio will be accretive to the Hannover Re's Group net income from 2009. The transaction has been approved by the competent regulatory authorities.
Winter storm “Klaus”, which moved across southern France and northern Spain at the end of January, caused insured damage of around EUR 1.0 billion. In this connection Hannover Re anticipates a net burden of losses in the order of EUR 70 million.