MUNICH (Bloomberg) — Allianz SE, Europe’s largest insurer, and Munich Re, the world’s second-biggest reinsurer, will book one-time gains for fiscal 2006 due to a change in Germany’s corporate tax law.Munich Re will book a one-time gain of 400 million euros ($528.2 million) because deferred tax assets now have to be activated, it said in an e-mailed statement.

“We don’t want to update the forecast of 3.2 billion to 3.4 billion net income for 2006 published Nov. 7,” the statement said. “Our assessment of the operating business hasn’t changed.”

Allianz will book a one-time gain of 500 million euros due to the change, spokeswoman Ilja-Kristin Seewald said. “This is just an accounting effect without significant economic effect or impact on the cash flow,” she added.

|0x95|Allianz Lebensversicherungs-AG, the German life insurance unit of Allianz, will keep its annual payout to policyholders at 4.5 percent in 2007, the fourth year the insurer has maintained that rate.

Allianz Leben raised the share of equities in its investments to 20 percent from 17.7 percent at the end of last year, Germany's biggest life insurer said in a statement.

“Because of that and despite low interest rates we were able to combine high returns and guaranteed life-long benefits,” Allianz Leben chief executive officer Maximilian Zimmerer said in today's statement.

Allianz's German life insurance premium income rose to 6.2 billion euros in the first half of the year as premiums from contracts with single premiums grew by 36 percent, Allianz said.

Before 2004, Allianz Leben had been cutting its payouts to policyholders.