AM Best

AM Best Affirms Credit Ratings of Pozavarovalnica Sava d.d.

 Andrea Porta
Associate Financial Analyst
+31 20 308 5430

Victoria Ohorodnyk
Associate Director
+31 20 308 5432

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159

Al Slavin
Communications Specialist
+1 908 439 2200, ext. 5098


AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “a” (Excellent) of Pozavarovalnica Sava d.d. (Sava Re) (Slovenia), the operating holding company of the Sava Re group. The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect Sava Re’s balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management (ERM).

Sava Re’s strongest level of risk-adjusted capitalisation, as measured by Best’s Capital Adequacy Ratio (BCAR), liquid investment portfolio, prudent reserving and good internal capital generation collectively contribute to an overall balance sheet assessment of very strong. Additionally, the company exhibits low reliance on reinsurance and sound financial flexibility, with access to both equity and debt markets.

Sava Re has a track record of generating strong and stable operating results, indicated by a five-year (2017-2021) weighted average return-on-equity ratio of 13.3% (as calculated by AM Best). Consistent reporting of operating profits over the past five years has been driven by sound life and non-life underwriting performance, supplemented by healthy investment income. At year-end 2021, the company reported a combined ratio of 88.3% with a five-year average combined ratio of 92.3% (as calculated by AM Best). For the first half of 2022, Sava Re reported a net profit of EUR 28.9 million and a combined ratio of 92.3% despite challenging market conditions, putting the group on track to achieve the planned net profit of EUR 60 million for full-year 2022. The group originates approximately 71% of its gross written premiums in Slovenia, where its leading competitive position and prudent underwriting helps generate strong and relatively stable earnings.

Sava Re benefits from a strong position in its core domestic market of Slovenia, where it is the second largest player and holds an approximately 29% market share in terms of gross written premiums. The group’s insurance business is dominated by premiums written in Slovenia; however, the company has been actively expanding in the West Balkan markets. AM Best expects to see further geographic diversification in the medium term in both the direct and reinsurance segments, as the group continues to prudently develop its position in the international reinsurance market.

AM Best considers Sava Re’s ERM to be developed and appropriate for the company’s risk profile and operational scope.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.

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AMB# Company Name
083847 Pozavarovalnica Sava d.d.
083846 Pozavarovalnica Sava d.d.