29.05.2013
Publication

The positions of German insurers 2013

With this brochure, the insurance industry wants to bring their claims to the financial, economic and socio-political topics in the political discourse on the upcoming election, so that insurers can fulfill their economically and socially indispensable tasks furthermore – to assume risks and to provide care.

The candidates have been chosen and the electoral platforms have been written. In a few months the elections to the Bundestag will take place. Due to the long-term nature of its business model, the German insurance industry thinks and acts based on time periods that are longer than legislative periods. The sector offers sustained risk protection and long-term precautions for citizens and industry alike. Its sustained, long-term capital investment makes it an anchor of stability in the financial markets.

The positions of German insurers 2013

The positions of German insurers 2013

 
Federal parliamentary elections are of great significance
The upcoming federal parliamentary elections are of great significance for the insurance industry, as longterm productivity requires wise, accurately fitting regulatory framework, particularly in times of crisis.

Selected positions of German insurers…
…on life insurance
A need for action exists in life insurance (Chapter 1 of the PDF), where, in February of this year, the Joint Mediation Committee of the Federal Parliament and Council failed to reach a consensus regarding a major correction in the treatment of valuation reserves. Thus, a regulation remains in effect that forces insurers to sell high-yield longterm investments in the midst of this low-interest-rate phase in order to finance special distributions to a small portion of customers.
 
The parties agreed in the Joint Mediation Committee to get a better overview of the data before making a final decision. We support this effort and hope for swift clarification so the necessary correction of the regulations can be initiated promptly in the new legislative period.
…on energy rebound
The successful design of the energy rebound will be a key project of every future federal government. Insurers can and want to contribute in a two ways to the successful solution (Chapter 4 of the PDF). On the one hand, they want to do so by insuring offshore wind parks that are partly subject to extraordinary high risks.
 
To succeed, however, riskmitigating factors must be considered in planning and constructing of turbines. In addition, insurers are ready to invest in wind parks and grids. There is a lot of potential here. In order to activate this potential, existing regulatory barriers must be removed.
…on demographic change
The demographic change continues. Our society alters and our social security system must also face these changes. The German insurance industry is participating in the necessary debate on the sustained structure of the social security system by lending its expertise in old age provisions (Chapter 2 of the PDF) and health and nursing care policy (Chapter 8 of the PDF). The industry offers concrete solutions where feasible.
…on consumer protection
The German insurance industry is already ahead with regard to consumer protection (Chapter 3 of the PDF) through a number of voluntary initiatives. This year, an extended, more stringent code of conduct will take effect for insurance distribution. A further training system is also being presented for intermediaries.
 
The number of complaints received by the insurance ombudsman decreased again, in the past year. The insurance industry listens at all times to constructive criticism and will make even more of an effort than in the past to establish dialogue with the consumer associations in order to identify problems early on and to jointly discuss proposals for improvement.

The insurance industry can and will contribute to managing the key challenges facing society and business in the near future. The industry proves its capacity each day anew: Every calendar day, 27,000 claims are regulated in motor insurance.

Life insurers pay 230 million EUR to their customers – per day
Life insurers pay 230 million EUR per day to their customers, thus contributing to adequate income in old age. With an investment portfolio of approx. 1,285 billion EUR, insurers also play a leading role for investments, growth and employment in the German economy.