What links a centuries-old German fire insurer with today’s business models in the insurance markets of the Middle East and Asia? More than one might expect. The core principles of sound insurance remain remarkably constant.
Over the course of my 27-year career in the insurance industry, one question has repeatedly occupied my mind: why do some insurers enjoy long-term, even centuries-long growth and success, while others fade quickly? Throughout these years, I observed several promising markets across the Middle East, Asia, and Africa. Yet the most compelling answer to my question came not from these fast-growing regions, but from my time at Deutsche Rück – an experience tied to a story that begins in 17th-century Hamburg. It offers valuable lessons on what it takes to succeed today. Not only in the Middle East and Asia, but around the globe.
Reliable since 1676
In the 16th and 17th centuries, most of Hamburg’s houses were built of wood and topped with thatched roofs – perfect fuel for fire. Blazes often engulfed entire streets, destroying lives and property. In 1591, 101 brewers banded together to offer each other mutual financial protection, laying the groundwork for the city’s first building insurance. By 1676, after a spate of major fires, Hamburg consolidated these fragmented efforts into the Hamburger Feuerkasse, an institution born from the population’s enduring need for security.
Over time, membership in the Hamburger Feuerkasse became mandatory for owners of both commercial and residential buildings. One of its greatest tests came in May 1842, when fire ravaged a fifth of the city. The insurer met the challenge by issuing a bond to pay all claims.
As Hamburg evolved, so too did its insurer. It expanded its offerings, introducing storm coverage in 1930 and diversifying into accident, liability, and household insurance in 2012. Its endurance is remarkable: It withstood sweeping social shifts such as the Enlightenment in the 18th century, economic disruptions like the Industrial Revolution in the 19th, the forces of globalisation in the 20th, and technological upheavals such as digitalisation in the 21st. Each era brought new risks – yet Hamburger Feuerkasse always found ways to manage them. Today, the company stands as the world’s oldest active insurer.
Urban growth demands protection
Hamburg’s growth story parallels the rapid urban expansion seen today in cities like Dubai, Mumbai, and Singapore. As infrastructure expands and middle classes emerge, the demand for robust insurance models soars. This presents insurers with an opportunity: to offer tailored, long-term solutions that do more than hedge short-term risks. Sustainable insurance fosters economic development and builds inter-generational trust in the industry’s social utility.
Responsibility breeds stability
Hamburger Feuerkasse succeeded not because it was conceived on a whiteboard, but because it responded to a real, pressing need. Created under municipal oversight, it operated in solidarity and served the public interest. Deutsche Rück follows a similar ethos: as a reinsurer owned by public-sector insurers in Germany, we aim to provide sustainable protection. Those who underwrite risk shoulder a societal responsibility – they help define how resilient a community can be. When an insurer delivers on its promises rather than merely selling a product, policyholders take notice.
Yet Deutsche Rück and Hamburger Feuerkasse are linked by more than just a shared outlook. They are now bound by business ties as well. Today, Hamburger Feuerkasse is a wholly owned subsidiary of Provinzial Holding, one of Germany’s largest public-sector insurers. Deutsche Rück, in turn, has long served as a reinsurance partner to Provinzial, which is also one of Deutsche Rück’s shareholders – alongside other publicly owned insurers. What began centuries ago in Hamburg endures today in the form of enduring alliances.
Trust, competence and adaptability as pillars
In many markets, insurers face a trust deficit. Contracts are seen as opaque, and long-term business models remain rare. In contrast, Hamburger Feuerkasse has long embodied transparency, fairness, and proximity to its clients. Trust, it seems, emerges only when insurers act as reliable partners over time.
Continuity, however, must not become complacency. Despite its age, Hamburger Feuerkasse has consistently embraced innovation, adapting to industry shifts and technological change. For today’s insurers, the lesson is clear: lasting success stems from marrying dependability with a readiness to evolve – whether in Germany or far beyond. M
Mr Tarik Aouad is the managing director, Middle East and Asia markets, at Deutsche Rück.