The German market hit shares to fall as the insurers,

Traders on the Frankfurt stock exchange watch events take place in the Japan Monday, March 14, 2001. Germany shares fell 1. 5pc at a given time. Photo: Reuters

The DAX index fell 1. 5pc sometime as reinsurance group shares more of the world, Munich Re fell 4. 43pc, while the general insurer Allianz lost 3. 4pc. The two companies lose respectively 4 28pc and 2 14pc Friday.

Insurance groups are subject to massive costs by the earthquake and tsunami that struck the Friday Japan, eventually killing more than 10,000 people according to the Chief of police in Miyagi Prefecture.

Sunday, an analysis of risk by AIR Worldwide said that the only earthquake could require an economic balance up to more than $34 (£ 30bn).

However, a statement of Munich Re said that the crisis from a Japanese nuclear power plant "will probably not significantly affect private insurers."

German electricity companies were affected as well. Stocks in the two largest, EON and RWE, collapsed in morning trading Monday as fears about nuclear energy grew. EON fell 3 36pc and number two RWE showed a loss of 4 FP6.

EON and RWE control most of the Germany nuclear reactors, while the Swedish group Vattenfall is also active in the sector.

Germany has been debating whether to continue the use of nuclear energy and a central crisis devastated the Japan will make probably more difficult for energy-producing companies overcome public opinion.

German operators comes to obtain permissions to extend the life of their plant operations, even if the general public is opposed to rely more on nuclear power.

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