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Zavarovalnica Triglav’s Share Wins Prime Market Share of the Year Award

On an award ceremony in the context of the pre-New Year’s gathering of the management boards of financial market participants, the Ljubljana Stock Exchange presented the Prime Market Share of the Year Award to Zavarovalnica Triglav d.d.

 

The Ljubljana Stock Exchange awards for the most successful shares on the Slovene market are based on statistical criteria, such as turnover, price growth, turnover growth and the number of trading days with an individual share in a one-year period.

 

From left to right: Andrej Slapar, President of the MB of Zavarovalnica Triglav; Aleš Ipavec, President of the MB of LJSE and Uroš Ivanc, Member of the MB of Zavarovalnica Triglav

 

Triglav 9M 2017 Performance in Line with the Annual Targets

Andrej Slapar, President of the Management Board of Zavarovalnica Triglav d.d., said: “In the first nine months of 2017, the Group not only operated profitably and safely but was also financially strong, as confirmed by high credit ratings. The challenging conditions in capital markets have continued, in addition to an increased number of mass loss events recorded this year. Taking into account the business conditions anticipated until the end of the year, we estimate that our annual plan will be achieved. In 2017, we have continued with the existing or have been implementing new activities aimed at achieving the 2017–2020 strategic guidelines.Clients are in the very centre of our activities. Our products, services and sales channels are being tailored and developed to their needs and the specificities of individual markets. In our markets, we invest in those insurance segments where the highest growth rates are expected. To this end, this year we have entered the voluntary pension insurance market in Bosnia and Herzegovina and the Macedonian life insurance market.  I believe that the commitment and energy of the Triglav Group’s team are the guarantee that we will achieve our set objectives.”

 

The Triglav Group ended Q1–3 2017 with a profit before tax of EUR 64.5 million (EUR 67.5 million in 2016) and generated a net profit of EUR 52.3 million (EUR 53.6 million in 2016). Compared to the respective period of 2016, the premium growth of 8% was recorded at the Group level (EUR 777.1 million). The Group recorded premium growth in all three insurance segments. Both non-life insurance premium and life insurance premium increased, by 8% and 3% respectively, whilst health insurance premium saw an increase of 14%. Premium growth was recorded in all insurance markets in which the Group operates. The average growth on the Slovene market was 7% and on the markets outside of Slovenia it stood at 11%. In 2017, the situation on insurance markets has been gradually improving, but the Group is still faced with challenging conditions marked by aggressive price competition.

 

Gross claims paid increased by 5% (EUR 467.4 million) as the result of the increase in the insurance portfolio and claim frequency as well as the higher number of mass loss events. The latter increased over 2016; in the first nine months of 2017, they amounted to EUR 25 million (EUR 19 million in 2016). The Group’s combined ratio of 95.3% (2016: 95.0%) was favourable despite the increase in the claims ratio and at the level of its average target strategic value.

 

As at the reporting date, the Group’s financial investments totalled EUR 3.1 billion. They are effectively managed despite the low interest rate environment, due to which lower interest income was realised compared to the corresponding period last year. In terms of value, returns on financial investments remained at the 2016 level mainly due to higher gains on the sale of financial investments.

 

More information in 9M 2017 report and presentation for investors.

 

In 2017 “A” credit rating affirmation

In 2017, both credit rating agencies, i.e. S&P Global Ratings and A.M. Best, assigned the Triglav Group the same high “A” credit ratings as last year with a stable medium-term outlook. The credit ratings reflect consistently strong operating performance over the past years, the dominant market position and financial soundness of the Group, as well as adequate reinsurance protection and risk management. More on credit ratings.