May 16 (SeeNews) - Bulgarian blue-chip insurer Euroins said on Friday it expects to generate two-three million euro ($3.1-$4.6 million) from operations in Spain in the next 12 months.
The company signed its first car insurance policy, worth 952 euro, in Spain earlier this month and its premium income from operations there is seen reaching two-three million euro by May 2009, the company said in a statement.
"The legislation in Spain envisages an automatic renewal of any signed policy and on this basis Euroins is foreseesing considerable growth in premiums in the next years," it added.
Last year, the insurer announced plans to expand its operations to Austria, Belgium, Germany, Greece, Spain, Italy, France and Romania said it hoped to start operations abroad by the end of 2007, offering initially car insurance services.
Euroins' net profit rose 27% to 5.37 million levs ($4.3 million/2.8 million euro) last year, below its forecast of 6.0 million levs. The company said earlier this week its first-quarter net profit fell 85% year-on-year to 115,000 levs due to losses from investments in shares listed on the Bulgarian bourse.
Shares in the company last traded at 8.75 levs at 0953 GMT on Friday, 4.2% higher from the previous close.
(1 euro = 1.95583 Bulgarian levs)