Sava reported 9 months growth in business volume and profits

20 November 2023 — Andrei VICTOR
Slovenian insurance group Sava reported 3Q2023 13.7% y-o-y increase in business volume to EUR 711.2 million, while the net profit increased slightly to EUR 36.5 million (3Q2022: EUR 35.0 million), “a similar level to that of the first nine months of last year, despite this year’s major claim events”.

“The Company estimates that, despite the adverse impact of this summer’s storms and floods, the Group’s result will be close to the published 2023 target of at least EUR 53 million by the end of the year”, as Sava representatives pointed out in a statement.

Regarding the business volume, Sava representative mentioned that the main contributors to this growth were GWP in the non-life segment (18.5% in the EU markets and 22.2% in the non-EU markets) and in the reinsurance segment (6.6%), both driven by price increases and organic business growth. Life insurance sales also increased, resulting in higher life gross written premiums (3.3% in the EU markets and 15.8% in the non-EU markets). In addition, asset management revenues grew by 6.6%.

For YE2023, Sava expects that the Group’s full-year net profit will be close to the originally published target, “assuming there are no major adverse events or other negative external impacts in the fourth quarter”.

In the first nine months, the Sava Insurance Group reached 88.9% of the planned business volume for 2023, whereas net profit was 68.9% of the lower limit of the annual net profit target range. In August, the net impact of the summer events was estimated to be between EUR 30 million and EUR 35 million. Three months after these events, their impact amounted to EUR 27.1 million. At the same time, the impact of claims on non-Group reinsurance business (written in Austria, Croatia, and Serbia) is lower than originally estimated.