FIAR 2013 Reinsurance Market Workshop The Reinsurance Strategies

FIAR 2013 - Reinsurance Market Workshop The Reinsurance Strategies for CEE International Group vs. Local Player www. trustre. com Sinisa Lovrincevic, M. Sc. Tuesday, May 21 st 2013 Sinaia, Romania

International Impact How Sensitive is Reinsurance Business? • Environment / complex, uncertain, vulnerable • Changes / financial, economic, social, political, demographic • EU / EURO zone / old and new members / “speed” of trust • Legislation and regulatory changes / Solvency II, IFRS • System of supervision / synchronization of standards • Sovereign ratings / company ratings / Confidence • Risks Concentrations & interconnections / megacities, population, value, lines of business • Emerging risks / Systemic risks / Combination • Climate/ Nat Cat Exposure = frequency & severity is increasing © Copyright 2013 TRUST RE All rights reserved. No part of this presentation in all its property may be used or reproduced in any form or by any means without a written permission

Local Impact Proactive Response is needed • Allocation of the capital / investment yield • Adequate reinsurance protection / reevaluation, expertise • Prudent pricing / models & tools & uwr skills, experience • Competitive advantage / “what if” scenarios, stress test • Claims settlement / ability to pay the future Losses • Clear understanding & identification of risks / to meet the Client’s Requirements across the Enterprise • Quality & transparency of information & data / quantitative & qualitative assessment • Profitability / short & long tail business / ongoing journey © Copyright 2013 TRUST RE All rights reserved. No part of this presentation in all its property may be used or reproduced in any form or by any means without a written permission

Reinsurance Strategies in CEE Mitigation with the Risks is priority • • • Add Value Creation / Stakeholders / Commitment Insurance & Reinsurance / people business / trust & promise Brand name as reputation / healthy competition + security Stable market position / sustainable growth on top & bottom line Control of the risks / Enterprise Risk Management & Leadership Underwriting discipline / risk appetite & tolerance & limit Active People Engagement / clear communication + motivation Education / develop and retain the know-how base and talent Tailor product and service innovation / supporting new techno Privatization / mergers & acquisitions is still active process © Copyright 2013 TRUST RE All rights reserved. No part of this presentation in all its property may be used or reproduced in any form or by any means without a written permission

Contacts Sinisa Lovrincevic, M. Sc. Head of Business Development Regional Director & Treaty Senior Underwriter CEE, SEE, CIS Hassan N. Tfayli, ACII Chartered Insurer Regional Manager & Treaty Underwriter CEE, SEE, CIS T: +357 25 582 329 F: +357 25 591 074 M: +357 99 722 665 T: +973 17 517 171 - Ext. 1207 D: +973 17 517 225 F: +973 17 531 586 M: +973 36 899 896 sinisal@trustrecyprus. com Ariadne House 333 4 th Floor, Office No. 42 28 th October Street, CY-3106 P. O. Box 58024, CY-3730 Limassol, Cyprus htfayli@trustre. com Trust Tower, Building 125 Road 1702, Diplomatic Area 317 P. O. Box 10002 Manama, Kingdom of Bahrain © Copyright 2013 TRUST RE All rights reserved. No part of this presentation in all its property may be used or reproduced in any form or by any means without a written permission

Q & A Thank You