March 6 (SeeNews) - Slovenia's Triglav Group, a unit of insurer Zavarovalnica Triglav [LJE:ZVTG], turned to a net profit of 16.3 million euro ($17.7 million) in 2023 from a 7.0 million euro loss recorded in the previous year, it said on Wednesday.
"Earnings are in line with the mid-year estimate published by the group due to one-off events, in particular the regulated price of supplemental health insurance in Slovenia and record high CAT claims, the impact of which on the group's operations was limited by adequate reinsurance protection," Triglav Group said in a filing with the Ljubljana Stock Exchange.
Insurance operating loss declined to 9.4 million euro from 12.6 million euro, whereas a net investment result of 22.0 million euro was recorded in 2023, versus a 14.3 million euro net investment loss in the previous year, the group said.
Triglav Group's total business volume grew by 12% to 1.78 billion, with the same growth rate being recorded by gross written premium, which totalled 1.653 billion euro and accounted for 93% of total business volume.
"Last year was a very challenging year. Natural disasters have resulted in an increased need for support to our policyholders and have led to record high claims for the group," Andrej Slapar, president of the management board of Zavarovalnica Triglav, said.
"In addition to the aforementioned factors and claims inflation, the government regulation of the price of supplemental health insurance in Slovenia had a significant impact on our results. We will no longer offer these insurance products in 2024," he added.
The group anticipates business conditions to return to normal in 2024 and estimates a total business volume of around 1.6 billion euro, earnings before tax of between 100 million euro and 120 million euro, and a combined ratio of Non-Life and Health segments of around 95%.
Triglav Group is the parent of voluntary supplementary pension insurance company Triglav pokojninska druzba, health insurer Triglav Zdravje and reinsurance company Triglav Re.
($ = 0.9198 euro)
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