Sava Re Group Successfully Completes the Year 2016
In 2016, the Sava Re Group (according to the preliminary data) received about 490 million euros of gross premiums, which is 0.8% more than in 2015. The Company informs that this result exceeded the expected figure of 0.4%. The Zavarovalnica Sava Company presents the premium on property insurance in Slovenia. The Company received 256 million euros of premium on property insurance, which is 2.4% more than in 2015. The most significant growth was demonstrated by the premium on business insurance, vehicle insurance, and credit insurance. The premium on life insurance in Slovenia (which, in addition to the Zavarovalnica Sava premium, also includes the Moje naložbe premium) amounted to 80 million euros. This is 0.2% less than in 2015 due to increase in the number of existing insurance policies.
Reinsurance Decreases Slightly
In 2016, the reinsurance program collected 93 million euros of gross premiums, which is 5.4% less than in 2015. The decrease in gross premiums began in the South Korean market due to the restructuring of certain reinsurance programs. As noted in the Sava Re, South Korea remains an important focus. In 2016, premiums were growing steadily in the foreign markets: in the Asian markets, an increase made 12%, in the markets of Africa, it equalled to 29%, and in the Latin America markets, the average growth exceeded 13%.
According to certain categories of insurance, the Group was also successful in some foreign markets. In the property insurance sector, an increase of 4.8% was recorded and 55 million euros of gross premiums were received. In the sector of life insurance, an increase made 10.9% (7 million euros of premiums). Excluding premiums from the Kosovo market, which decreased in 2016, an increase in the foreign markets made 8%.
The main goal of Sava Re in 2016 was the unification of captive insurance companies with the headquarters in the EU Member States. As a result, a joint insurance company Zavarovalnica Sava working in Slovenia and Croatia was established on 2 November 2016.
Plans for 2017
In 2017, the group expects to receive 494 million euros of gross premiums. This figure will be achieved mainly due to external markets (the growth of property insurance level — 4%, life insurance — 6%). In 2017, the Sava Re Group plans to receive 31–33 million euros of net profit and exceed the 10%-th threshold of the capital profitability.