(Bloomberg) — Munich Re, the world's second-largest reinsurer, rose the most since November 2011 after announcing a dividend that beat expectations. The company reported fourth-quarter profit that was unchanged from a year earlier.

The shares gained as much as 5.2% in Frankfurt. Munich Re plans to raise the dividend for 2015 to 8.25 euros ($9.14) a share from 7.75 euros a year earlier, the company said in a statement on Thursday. That beat a Bloomberg dividend forecast of 8 euros per share.

Reinsurers including Munich Re, Swiss Re AG and Hannover Re sell backup coverage to insurance companies, protecting them against big risks such as natural catastrophes. While natural catastrophe losses last year fell to the lowest since 2009 last year, earnings in the industry continue to be squeezed by record-low interest rates and declining prices for coverage.

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