10. Operating expenses

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In € thousand	1–12/2020	1–12/2019
Property and casualty insurance
Acquisition costs
Payments	671,155	614,472
Change in deferred acquisition costs	–26,506	–10,117
Other operating expenses	340,144	269,600
Reinsurance commission and share of profit from reinsurance ceded	–14,068	–12,713
	970,724	861,241
Health insurance
Acquisition costs
Payments	115,654	107,054
Change in deferred acquisition costs	–14,930	–14,504
Other operating expenses	124,594	95,733
Reinsurance commission and share of profit from reinsurance ceded	–352	–470
	224,966	187,813
Life insurance
Acquisition costs
Payments	175,891	172,103
Change in deferred acquisition costs	32,114	56,252
Other operating expenses	166,808	134,408
Reinsurance commission and share of profit from reinsurance ceded	–4,104	–4,700
	370,708	358,062
Total	1,566,399	1,407,116

Acquisition costs

The amount paid to acquire an asset in cash or cash equivalents or the fair value of another form of compensation at the time of acquisition.

Deferred acquisition costs

These include the costs of the insurance company incurred in connection with the acquisition of new or the extension of existing contracts. Costs such as acquisition commissions as well as costs for processing applications and risk assessments are some of the items to be recorded here.

Operating expenses

This item includes acquisition expenses, portfolio management expenses and the expenses for implementing reinsurance. The operating expenses remain for the company’s own account following deduction of the commissions and profit participation received from the reinsurance business ceded.

Reinsurance

An insurance company insures part of its risk via another insurance company.