Ljubljana, 22 November (STA) - The insurance group Sava generated EUR 814.7 million in turnover in the first nine months of the year, which is 14.7% more year-on-year. Net profit soared by 70% in comparison to the same period last year, which was marked by natural disasters, to EUR 62.1 million, shows the business report published by the controlling company Sava Re on Friday.
The group's turnover, which includes all gross written premiums and other revenue, increased in all segments, most notably in non-life and life insurance, where the growth was in double digits. Reinsurance premiums increased by 7.9%.
"Growth was achieved through price adjustments and further increases in the number of insurance and reinsurance contracts written", the report says, noting that the pensions and asset management segment saw a revenue growth of 17.9%.
Net profit for the January-September period stood at EUR 62.1 million, an increase of 70% over the same period last year.
The main contributor was the non-life business segment, with a 20% increase in insurance revenue and a more favourable claims experience than last year, when the group suffered higher losses related to natural disasters than this year.
The group also generated higher profit in the pensions and asset management, life insurance and reinsurance segments.
The profit figure was also supported by the group's financial result, which improved by 37.9%, "reflecting the full impact of higher interest rates on reinvested financial assets" and assets invested from operating cash flow, the report adds.
Sava Re said that the group remains very well capitalised, with the solvency ratio having been estimated at between 198% and 204%.
The group's net profit for the first nine months amounts to 88.7% of the lower limit of the planned result for the entire year.
In the absence of a significantly higher loss frequency and if the situation on the financial markets remains stable in the fourth quarter, it is expected that the group will post a net profit of more than EUR 70 million for the whole year.
