Swiss Re sees the light of day
Categories
Swiss Re
Time
19.12.1863
Locations
ZurichCountries
United Arab Emirates
Founded in 1863, Swiss Re was one of a number of institutions established in Switzerland after the adoption of the Federal Constitution in 1848. As railways were built and agricultural workers flocked to the major towns, further expansion needed the support of finance and insurance institutions.
The major fire in the thriving town of Glarus in May 1861 highlighted the difficulties the Swiss insurance system had in dealing with catastrophic losses and the need to provide additional cover to the insurers.
The response from the fledgling Swiss insurance industry was swift. Six months later, in November 1861, general insurer Helvetia created a separate fire insurance company in St Gallen, a move mirrored in other Swiss cities.
It was Moritz Ignaz Grossmann, the head of the Helvetia fire and transport insurance businesses who formally proposed creating a Swiss reinsurer in 1863. After gaining the support of the Helvetia board, he sought other Swiss partners to join the venture.
Cologne Re, founded in 1846 after the Great Fire of Hamburg, provided an example of how this could be done. There was also an immediate commercial opportunity for a Swiss reinsurer in the Swiss market as insurers currently went abroad for cover.
After much discussion among the potential shareholders, the Swiss Reinsurance Company Articles of Association were authorized by the Zurich cantonal government on 19 December 1863, with the participation of Schweizerische Kreditanstalt (Credit Suisse, under the chairmanship of Alfred Escher), Helvetia General Insurance Company in St Gallen, and the Handelsbank of Basel. Swiss Re's share capital was CHF 6 million, with a payment of 15 percent from shareholders.
The official foundation document bears the signature of the author Gottfried Keller, who at the time was a clerk of the Canton of Zurich.
The major fire in the thriving town of Glarus in May 1861 highlighted the difficulties the Swiss insurance system had in dealing with catastrophic losses and the need to provide additional cover to the insurers.
The response from the fledgling Swiss insurance industry was swift. Six months later, in November 1861, general insurer Helvetia created a separate fire insurance company in St Gallen, a move mirrored in other Swiss cities.
It was Moritz Ignaz Grossmann, the head of the Helvetia fire and transport insurance businesses who formally proposed creating a Swiss reinsurer in 1863. After gaining the support of the Helvetia board, he sought other Swiss partners to join the venture.
Cologne Re, founded in 1846 after the Great Fire of Hamburg, provided an example of how this could be done. There was also an immediate commercial opportunity for a Swiss reinsurer in the Swiss market as insurers currently went abroad for cover.
After much discussion among the potential shareholders, the Swiss Reinsurance Company Articles of Association were authorized by the Zurich cantonal government on 19 December 1863, with the participation of Schweizerische Kreditanstalt (Credit Suisse, under the chairmanship of Alfred Escher), Helvetia General Insurance Company in St Gallen, and the Handelsbank of Basel. Swiss Re's share capital was CHF 6 million, with a payment of 15 percent from shareholders.
The official foundation document bears the signature of the author Gottfried Keller, who at the time was a clerk of the Canton of Zurich.
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Categories
Swiss Re
Time
19.12.1863
Locations
ZurichCountries
Switzerland
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