Hannover Rueck SE Q3 2020 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Kamran Hossain - RBC Capital Markets, Research Division - Analyst : First question is based on the dividend, how to think about that? I guess the regular parts of the dividend is very clear. So a discussion there. But what are the key trigger points to think about on capital position versus the special cost of the dividend or one that you have paid in recent years? Is this S&P capital-linked? Or was there some other trigger? And if you were to hit your plan that you have at the moment for the renewals, given it sounds like you're being relatively conservative on kind of what you're assuming there. Does that mean you've got enough capital to pay that special part of the dividend or not? And the second question is, looking at next year, your cat budget's increased, I think, 13% year-on-year, well ahead of the premium growth you're suggesting. Is this mix change at some assumption change or bits of both? Any thoughts on that would be helpful.

Question: Kamran Hossain - RBC Capital Markets, Research Division - Analyst : Yes. Sure. The -- I guess the large loss budget seems to have grown -- or for next year seems to have grown 13%. You're implying 13 -- sorry, 13% versus 5% premium growth. So I was just trying to understand, is this a mix change in business? Or are you rising kind of more cat business? Or is this an assumption change given the last 4 years have been running ahead of budget, I guess, not just for you but for the industry as well?