“The most devastating of these were the floods of 4 and 5 August 2023. We are working strongly with our policyholders to ensure that they receive the support as provided for in their insurance policies to help them through this difficult time. Neighboring markets in which the Group operates, mainly Austria, Croatia and Serbia, also experienced more frequent storms. Based on available data, gross claims are estimated to be close to EUR 100 million. Together with the claims to be covered by Sava Re on reinsurance business accepted outside the Group (written in Austria, Croatia and Serbia) and considering the reinsurance protection, the management board estimates the total impact on the business result will be in the range of EUR 30 to EUR 35 million”.
The Group’s business volume for the first half year, measured in terms of premiums written and revenue from other non-insurance services, amounted to EUR 495.1 million, showing strong growth of almost 12% year on year.
The Group’s net profit for the first half of the year of EUR 40.0 million normalized, compared to the same period last year, when it fell substantially following materially higher provisions, driven by inflation. “The Group’s net profit reached 75.6% of the annual profit target, largely because of the absence of major claim events until the end of the first half of 2023”.
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