FRANKFURT, Germany -- Germany's Munich Re said Friday it will have to cut its profit targets for this year due to the high number of claims following tropical hurricanes.
The world's largest re-insurer said its initial projection of a $2.6 billion profit for 2004 will be more difficult to reach as a result of the hurricane claims that hit the Caribbean and the United States in August and September. The company said, however, investors will have to wait until Monday to know just how much lower that figure will be.
But Munich Re will be far from alone in having its bottom line hurt by the natural disaster. Earlier this season, rival Swiss Re said it faced hurricane claims totaling $590 million, while Hannover Re had to cut back its earnings projections as a result of the hurricanes.
