MILLIRE ENG2024

Asia’s insured losses from natural perils totaled USD 7.8 billion, while total economic losses in the region amounted to USD 86 billion. For some insurers, there was a shift to higher attachment points in reinsurance programs where increased self- retention leads to capital strains, driving higher demand for quota share treaties. Certain markets and insurers continue to face sustained challenging terms and conditions for loss-affected property per-risk and per-event reinsurance treaties. We continue to maintain our technical discipline and continue to look for pockets of opportunities to write business in this more competitive environment. We constantly engage with our clients to ensure we stay relevant and attuned to their insurance strategies and risk management needs, reinforcing our role as a reliable and long-term working partner. Asia’s insured losses from natural perils totaled USD 7.8 billion, while total economic losses in the region amounted to USD 86 billion. This points to the hard fact that only 9.1% of the region’s total economic losses were protected by insurance. Notable events included the Noto Peninsula earthquake, which caused USD 12 billion in economic losses, of which USD 2 billion were insured. Seasonal floods in China resulted in USD 31 billion in economic losses, with USD 1 billion insured. Typhoon Yagi, which impacted Southeast Asia and South China, caused USD 17 billion in economic losses, with only USD 1 billion covered by insurance. Additionally, the Hualien earthquake in Taiwan led to USD 2.5 billion in economic losses, with USD 1 billion insured. The region continues to face a significant protection gap, which underscores the need for innovative, efficient, and cost-effective solutions to bolster societal resilience. This gap is particularly concerning given the sustained and resilient economic growth in the region. Addressing this gap is critical to strengthening the region’s preparedness for future natural disasters and ensuring better protection for vulnerable populations. We, at Milli Re, remain committed to meeting the region’s protection needs as a long-term market supporter. Middle East and North Africa (MENA) The Middle East and North Africa (MENA) region has lagged behind the rest of the world in economic growth, with per capita income rising only 62 percent over the last five decades, compared to much higher growth in other emerging and advanced economies. In 2024, MENA’s real GDP growth is projected to reach 2.2 percent, a slight improvement from 1.8 percent in 2023. Fragile and conflict- affected situations such as the extension of OPEC+ oil production cuts, high inflation, increased geopolitical uncertainty due to the conflict centered in Gaza and United Arab Emirates (UAE) Flood have worsened the region’s divergence from high-income economies’ living standards. Unlike than their energy-importing counterparts (Morocco, Jordan, Lebanon, Tunisia and Egypt) the hydrocarbon- producing countries of the Gulf Cooperation Council (GCC) – which includes Saudi Arabia, the UAE, Bahrain, Oman, Kuwait and Qatar – have avoided this divergency. Whilst GENERAL INFORMATION FINANCIAL RIGHTS PROVIDEDTOTHE MEMBERS OF THE GOVERNING BODY AND SENIOR EXECUTIVES RISKS AND ASSESSMENT OF THE GOVERNING BODY ACTIVITIES AND MAJOR DEVELOPMENTS RELATED TO ACTIVITIES RESEARCH & DEVELOPMENT ACTIVITIES FINANCIAL STATUS FINANCIAL INFORMATION 65 2024 Annual Report