By Ed Frankl

Hannover Rueck SE posted higher net premium income in its nine-month earnings, but flagged exchange-rate losses amid higher-than-expected natural-catastrophe and pandemic impact.

Net premium earned from January to the end of September increased by 11.8% to 17.63 billion euros ($20.47 billion), corresponding to growth of 13.9% adjusted for exchange rate effects, Hannover Re said.

The result was adversely impacted by exchange-rate losses, the German reinsurer said, as it posted gross written premiums that increased 12% to EUR21.62 billion. Growth would have reached 14.4% at constant exchange rates.

In the third quarter, large natural-catastrophe losses were also higher than expected in Hannover Re's property & casualty segment--due to European flooding and Hurricane Ida--and additional pandemic-related issues hit its life & health business, the company said.

Nine-month group net income grew to EUR855.9 million from 667.8 million the prior year, the reinsurer added.

Currency effects also play into Hannover's Re's outlook. The company has guided for 2022 net income of EUR1.4 billion to EUR1.5 billion, and a return on investment of at least 2.3% and growth of at least 5% in gross premium, adjusted for exchange-rate effects.

The euro, in which Hannover Re reports earnings, trades at $1.1611.

Write to Ed Frankl at edward.frankl@dowjones.com