Hannover Re Overhauls Dividend Strategy with Major Payout Increase

Hannover Re has announced a substantial revision to its dividend policy, significantly raising payouts to shareholders. The reinsurance group’s board decided on Sunday to integrate what were previously special dividends into its regular dividend payments, marking a strategic shift toward greater distribution consistency.

The company’s new approach establishes a payout ratio of approximately 55% of IFRS group results, representing a notable increase from the total dividend ratio of 46% for 2024. Under this revised framework, special dividends will now be reserved for exceptional circumstances rather than serving as regular supplementary payments.

This structural change aims to provide investors with enhanced predictability and continuity in their returns. Management has explicitly committed to maintaining dividends per share at least at prior-year levels,... Read more...