Munich Re has revised its combined ratio estimate for this year to 98% ahead of provisional figures to be released today.

The global reinsurer attributes the increase of 1.6 percentage points to "moderate price falls".

The revised forecast also includes a 6.5 percentage point hike for natural catastrophes.

Munich Re has already reported a net profit of a record €3.9 billion ($6.25 billion) after dodging the crisis in the US subprime mortgage market through safe investment strategy.