This annual Financial Condition Report (FCR) for the year ended 31 December 2024 was prepared for MS Amlin AG, trading under the name MS Reinsurance (‘the Company’ or ‘MS Reinsurance’).
MS Reinsurance is a Switzerland-domiciled, global reinsurer, and a wholly owned subsidiary of Mitsui Sumitomo Insurance Company, Limited (MSIJ), a part of MS&AD Insurance Group (MS&AD or the Group). Both MSIJ and MS&AD are registered in Japan. In 2022, MS Amlin AG was rebranded and now trades as “MS Reinsurance” with no change to its legal name or operational structure.
MS Reinsurance provides non-life treaty reinsurance solutions for clients around the world. The Company maintains a global presence with ofces in Bermuda, Miami, New York, Labuan, London and Zurich.
Basis of preparation
This Financial Condition Report was prepared in compliance with the requirements of Art. 111a and 203a of the Insurance Supervision Ordinance (ISO; SR 961.011) and as further detailed in the Swiss Financial Market Supervisory Authority’s (FINMA) “Circular 2016/2: Disclosure – insurers.” This FCR is to meet the regulatory reporting requirements of MS Reinsurance and for no other purpose and should not be relied upon for any other such purpose.
Financial information included in this report is based on data from “MS Reinsurance’s 2025 Swiss Solvency Test’s (SST) Market Consistent Balance Sheet” (for balance sheet financial information) and the “2024 Swiss Code of Obligations Annual Report” (for profit or loss information). Both were prepared in accordance with their relevant regulatory or accounting standards. Unless stated otherwise, this report represents the Company’s position as of 31 December 2024 only and will not necessarily reflect all changes in MS Reinsurance’s operations since that date. All quantitative information in this report is disclosed in USD, MS Reinsurance’s presentational currency, unless otherwise specified.
Business activities
MS Reinsurance has a global underwriting strategy prioritizing long-term client portfolios serving a variety of reinsurance clients facilitated across three business units:
- International, which provides multi-line solutions for clients in Europe, Middle East and Africa, and the rest of the world;
- Americas, which ofers multi-line solutions for clients in North and South America; and
- Specialty Lines, which services clients with unique specialized risks such as credit or agriculture.
MS Reinsurance’s longer-term strategy to reduce volatility in financial results remains unchanged from 2022. The Company continued to manage the overall portfolio during 2024, controlling its catastrophe exposure relative to other classes of business.
Corporate governance and risk management
The Company is supervised by a two-tier board, in accordance with Swiss legal and regulatory requirements. The first tier is the Supervisory Board of Directors (Supervisory Board), consisting of non-executive directors, of which at least one-third are independent of the Company.
The Executive Board comprises the second tier and is the Company’s managing body consisting of the chief executive ofcer (CEO) and other senior ofcers and managers of the Company. Appointments to the Executive Board are at the discretion of the Supervisory Board. Further information on corporate governance is provided in section 4.1.
Performance
As of 31 December 2024, the Company reported a net profit of USD 321.7 million (2023 net profit: USD 308.7 million) under Swiss Code of Obligations (Swiss CO). Profits were driven by MS Reinsurance strategic objective to build a well-diversified portfolio that generates stable and consistent profits. Further information on performance is provided in section 3.
Valuation for solvency purposes
The MS Reinsurance SST 2025 Capital Ratio, described in detail in section 7, is 217%, and compares favorably with the minimum FINMA SST solvency requirement of 100%. The market value margin is USD 196.0 million. The target capital is USD 1,236.6 million, and the SST risk bearing capital is USD 2,686.9 million. Please note that the SST 2025 is filed with FINMA in April 2025, simultaneously to this document.
As described throughout this document, the MS Reinsurance SST target capital is dominated by insurance risk. Within insurance risk, reserve risk continues to be the main source of risk. Overall reserve volumes have grown during 2024, reflecting a growing volume of long-tail business and overall business growth.
The relevant measure of available “own funds” is the risk bearing capital (RBC) calculated on the SST market consistent balance sheet. MS Reinsurance has net assets under Swiss CO of USD 2,021.3 million compared to USD 2,702.3 million net assets based on SST market consistent balance sheet.
The adjustments made to move from Swiss CO balance sheet to SST market-consistent balance sheet are set out below:
Approval of the Financial Condition Report
This report was reviewed and approved, and its disclosure pursuant to FINMA’s “Circular 2016/2: Disclosure – insurers” signed of, by the Supervisory Board of MS Reinsurance on 25 April 2025.