By the end of 2016, Germany had 9 captive insurers in total. One captive was newly added and one was removed during the year, keeping the total number of captive insurers the same as in 2015.
In 2016, Germany added one new captive insurer, Metro Re AG, registered on August 15 and invested in and established by Metro Group. Metro Group is a retail company headquartered in Düsseldorf, Germany, owning companies such as MAKRO Cash & Carry, Media Markt and Saturn. Metro Group's captive insurer was previously registered in the Netherlands under its former name Metro Re.
In October 2016, German airline Lufthansa merged its two captive insurers, Delvag Rückversicherungs-AG and Delvag Luftfahrtversicherungs-AG, with the merged new company named Delvag Versicherungs-AG.Both captive insurers are registered in Germany.While responsible for the group's various risk management needs, the Lufthansa captive also underwrites third-party insurance business and also manages Delvag's insurance brokerage firm established in 1980, Albatros Versicherungsdienste GmbH.
The Lufthansa captive Delvag's executive director Frank Hülsmann said that the merger integrates the captive's internal organizational structure, improves decision-making efficiency, and builds competitiveness in both direct insurance and reinsurance.
A.M.Best commented that although the merger reduces the independence of the Delvag captive's Lufthansa reinsurance business, it also increases the company's overall financial strength and enhances the diversification of its reinsurance risk portfolio.
Source: captivereview