The Triglav Group, the leading insurance/financial group in Slovenia and the Adria region, continues to focus on its core business – insurance. Despite the challenging conditions on insurance markets, the Triglav Group performed well in the first nine months of 2015. Compared to the respective period of 2014, gross written premium of the Triglav Group grew by 4% (EUR 718.3 million), thanks to achieving the Group’s Strategy focused on the development of pension and health insurance products and on boosting business in the Adria region.

Gross insurance premium booked by Zavarovalnica Triglav d.d. in Slovenia remained at approximately the same level as in the corresponding period of 2014 (EUR 463.2 million). Written premium of Triglav, Zdravstvena zavarovalnica d.d. was 1% higher compared to the same period of 2014. In the other five countries of the Adria region where the Group operates, all insurance subsidiaries of the Group recorded premium growth compared to the corresponding period of the previous year. The highest premium growth of 30% was recorded in the Serbian market, premium in the Macedonian market was 14% higher, while premium in Montenegro and Croatia climbed by 9% and 7% respectively. In Bosnia and Herzegovina, a 9% growth in premium was recorded by the insurer in Sarajevo, whilst the Banja Luka insurance company recorded an 8% increase in premium.

The Group and the parent company improved the combined ratio, which clearly shows good performance of the core business. As at the reporting date, the combined ratio of the Group was 91.7% (it improved by 3.7 percentage points compared to Q1–3 2014), whilst that of the parent company was 85.7% (it improved by 8.6 percentage points). 

In the first nine months of 2015, gross claims paid by the Triglav Group decreased by 1% to EUR 435.1 million compared to the respective period of 2014 and those of the parent company by 4% totalling EUR 283.5 million. In the reporting period, no major loss events were recorded. The Group's performance is significantly affected by the return on financial investments, which was 28% lower due to higher general interest rates and consequently lower prices of debt securities.

The Triglav Group ended Q3 2015 with a net profit of EUR 80.9 million, having increased by 5%. Profit before tax amounted to EUR 94.9 million or 6% more compared to 2014. Net profit of Zavarovalnica Triglav d.d. stood at EUR 53.8 million (4% less than in 2014), while its profit before tax of EUR 65.9 million remained at the 2014 level.

In 2015, the Triglav Group has remained financially strong and stable, as confirmed by the “A–” credit ratings from Standard & Poor’s and A.M. Best with a positive medium-term outlook. A guarantee and basis for balanced operations and long-term safety of policyholders is reflected by insurance technical provisions amounting to EUR 2,606.8 million and total equity capital of EUR 690.0 million.

Andrej Slapar, President of the Management Board of Zavarovalnica Triglav d.d., said: "The Triglav Group’s performance results in the first nine months of 2015, which has almost 5,400 employees in seven markets, confirm that we are on the right track with our strategic objectives and their consistent implementation despite the challenging conditions in the markets where the Group operates. The economic situation in most countries, where the Group is present, is improving moderately and gradually, which will be reflected in the insurance industry with a certain delay. Apart from that, specificities of each market of the Group have to be taken into account, as is the case in Croatia where the impact of the last year liberalised motor vehicle liability insurance market is still strongly felt in lower prices On capital markets, however, we do not expect such exceptional rates of return on investment as in 2014. In the insurance business, the pillar of the Triglav Group, we continue with our proactive marketing approach, focusing on increasing efficiency of sales network and developing high-quality products and services specifically tailored to client needs. An example of the steps taken towards this goal is the business model, which combines an insurance product, driving practices of mobile application users and an innovative telematics solution. Triglav was the first in Slovenia and the Adria region to design such a product and introduce it in the market this year."

The Unaudited Report of the Triglav Group and Zavarovalnica Triglav d.d. for the first nine months of 2015 and the Presentation for Investors are enclosed hereto.

This information will be published on the website of Zavarovalnica Triglav d.d. at www.triglav.eu as of 20 November 2015 and will remain available on the Company's public website for a period of at least five years.