Talanx Group has posted a record net income of €2.48 billion in 2025, split evenly between Primary Insurance and Reinsurance, reflecting the firm’s “diversified and balanced” structure.
Torsten Leue, Chairman of Talanx’s Board of Management, commented, “2025 was an exceptional year. We experienced the highest loss from natural disasters in the Group’s history in the first quarter, while the following three quarters saw unusually few natural disasters.
“Our operating strength and the tailwind from our positive claims experience allowed us both to generate record Group net income and to further increase our net income quality: we continued to strengthen our balance sheet in 2025 with our asset management policy and by enhancing our resilience.”
Meanwhile, the Group’s insurance revenue increased to €49 billion in 2025, and its insurance service result rose by 11% to €5.7 billion.
Despite the first quarter of 2025 being marked by the highest natural catastrophe loss in the Group’s history, driven by the Los Angeles wildfires, large loss payments reportedly normalised over the remainder of the year, totalling €2.19 billion, significantly below the €2.82 billion budget.
All in all, large losses from natural disasters amounted to €1.375 billion, while man-made large losses totalled €815 million. Talanx’s 2025 combined ratio improved to 89.1% from 90.3%.
Looking more closely at Talanx’s Reinsurance Division, primarily comprised of and managed by Hannover Re, insurance revenue rose 5% adjusted for currency effects in 2025 to €26.8 billion, while the insurance service result climbed 16% to €3.5 billion.
Insurance revenue in the Property/Casualty Reinsurance segment rose by 4% on a currency-adjusted basis to €18.8 billion, up slightly from €18.7 billion in the previous year.
At the same time, in the Life/Health Reinsurance segment, insurance revenue increased by 7% adjusted for currency effects.
The insurance service result in L&H Reinsurance rose by 2% to €903 million, surpassing the target of more than €875 million.
The increase was driven in part by continued strong business in financial solutions and longevity risk.
Looking ahead, Talanx has reaffirmed its 2026 net income target of approximately €2.7 billion, first announced in November 2025.
Achieving this would mean the Group reaches and surpasses its previously stated 2027 net income forecast a year ahead of schedule. Talanx is also projecting a return on equity of around 19% in 2026.
“As usual, targets are subject to the proviso that no turbulence occurs on the currency and capital markets, and that large losses remain in line with expectations. The current geopolitical and macroeconomic situation is an additional source of uncertainty,” Talanx concluded.
Torsten Leue concluded, “Our strategy – which is based on diversification, decentralisation, cost leadership and a culture of trust – has proven its worth yet again, including for our investors.
“In line with this, we are proposing to the Supervisory Board that the dividend be increased by 33%, to €3.60. This means that the growth in our dividend will again outstrip the rise in Group net income – and that we shall keep our promise of continuously lifting the dividend.
“Our business performance is also making us optimistic for 2026: we are confident of generating Group net income of approximately €2.7 billion, and hence of reaching and exceeding this earnings target for 2027 a year earlier than originally planned.”
