S&P Global Ratings said it has revised the outlook on Sava Re and Zavarovalnica Sava to positive from stable and has affirmed its “A” financial strength and issuer credit ratings, the insurer reports.

The agency underlines the strategic focus on strong underwriting performance as the key factor for the improved outlook. Prudence and underwriting discipline have enabled the Group to achieve favorable combined ratios in the non-life insurance business over the past 10 years and in the international reinsurance markets in recent years. The Group also achieved consistent underwriting performance in its life insurance business. All these factors have enabled the Group to deliver steady growth in operating results and a strong 10-year average return on equity of 13%, which the agency believes compares favorably with its peers in the core markets in which the Group operates.

According to S&P Global Ratings, the positive outlook reflects its view that Sava Re is well positioned to continue its track record of sound operating results and strong underwriting, while expanding profitably in both domestic and international markets and maintaining its robust capitalization over the next two years. The outlook for continued strong performance is further supported by improved prospects for economic growth in Slovenia and the Adria region, where the Group operates.