Munich Re says its full-year net profit target of €2.8 billion  ($4.5 billion)  remains  within sight  after the business  doubled its second quarter earnings to €1.1 billion  ($1.8 billion)  from the corresponding period of last year.

The June quarter results take overall  first-half  net profit to almost €1.7 billion  ($2.7 billion), up from €800 million  ($1.3 billion)  a year earlier.

“Munich Re is still aiming for a consolidated result of around €2.8 billion  for the 2021 financial year,” the reinsurer said in its half-year financial report.

COVID-related impact on the re insurance business  fell to  €241 million  ($385 million)  in the June quarter from  €700 million  ($1.1 billion)  last year.

First-half COVID impact also declined, to €505 million  ($806 million)  from €1.5 billion  ($2.4 billion). The property and casualty (P&C) reinsurance arm accounted for €203 million  ($424 million)  of  the  pandemic losses reported during the six-month period.

Munich Re says its full-year COVID loss guidance for the P&C reinsurance business remains unchanged at €300 million  ($479 million).

P&C losses  from major events - defined as €10 million ($16 million)  and above - fell to €432 million  ($689 million)  in the June quarter  from €799 million  ($1.3 billion). Claims cost from natural catastrophes accounted for €203 million of the losses while the remaining €229 million  ($365 million)  fell under the man-made category, including about €101 million  ($161 million)  from COVID claims.

The P&C reinsurance business improved its June quarter combined ratio to 90.1% from 99.9% and its earnings rose to €858 million  ($1.4 billion)  from €348 million  ($555 million).

In anticipation of  “advantageous business opportunities” in the  second-half of the year, the reinsurer  has accordingly raised its gross premium forecasts by €1 billion  ($1.6 billion)  to €40 billion  ($63.9 billion)  for its reinsurance business.

At the group level, gross premiums of €58 billion  ($92 billion)  are  hence projected for  this year.