Munich Re Selects GoldSim Simulation Software for Analysis of Reinsurance Solutions
June 26, 2007 – SEATTLE. The GoldSim Technology Group, a leading provider of advanced probabilistic simulation software, today announced that Munich Re, one of the world’s leading reinsurance companies, has entered into a site license agreement to use the company's GoldSim software in support of underwriting of non-traditional reinsurance solutions. This agreement followed a year-long evaluation phase, where Munich Re actuaries tested and developed models using GoldSim.
“Munich Re analysts need to use state-of-the-art tools to evaluate the reinsurance solutions that we develop, and about two years ago we identified a requirement for more realistic modeling of complex treaties” said Dr. Holger Kramer, a manager of an innovative solution team at Munich Re. “It isn’t just the potential claims that we look at, but also the entire contract structure. Our clients, the direct insurers, increasingly request more complex contract structures to cope with their individual risk situation. The contracts need to be specifically engineered to this aim. Thus, Munich Re has been looking for a flexible, easy-to-adapt software solution enabling us to analyze and even visualize such complex structures. We were considering developing the necessary software ourselves, but once we discovered GoldSim we realized it would be a much more cost-effective solution.”
Ian Miller, GoldSim President, remarks, “We see an increasing need for organizations to move beyond spreadsheets in order to perform sophisticated financial modeling and forecasting that integrates complex dynamics and the inherent risks and uncertainties. Such an approach is becoming increasingly necessary to support effective risk management and decision-making. Success stories like this demonstrate that GoldSim provides a powerful and flexible tool to meet this need."
About GoldSim Technology Group
GoldSim Technology Group is a privately held software company dedicated to helping users understand complex systems and make better decisions in the face of uncertainty. GoldSim software is used by over 180 organizations worldwide to support risk management, strategic planning, and policy analysis in industries such as insurance, mining, water resources, health care, energy, manufacturing, defense and aerospace.
About Munich Re Group
The Munich Re Group operates worldwide, turning risk into value. In the financial year 2006, it achieved a profit of €3,536m, the highest in its 126-year corporate history. In 2006, its premium income amounted to approximately €37bn and its investments to around €177bn. The Group is characterised by particularly pronounced diversification, client focus and earnings stability. It has approximately 37,000 employees in over 50 locations throughout the world and operates in all lines of insurance. With premium income of around €22bn in the year 2006 from reinsurance alone, it is one of the world's leading reinsurers. Its primary insurance operations are mainly concentrated in the ERGO Insurance Group; it is the second-largest provider in the German primary insurance market and a leading player in the European insurance market in health insurance and legal expenses cover. The ERGO Insurance Group is present in 25 countries, and 33 million clients place their trust in the services, competence and security it provides.