AM Best

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


Andrea Porta
Financial Analyst
+31 20 308 5430

Victoria Ohorodnyk
Associate Director
+31 20 308 5432

Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318


AM Best has affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a” (Excellent) of Pozavarovalnica Sava d.d. (Sava Re) (Slovenia), the operating holding company of the Sava Insurance 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 (2018-2022) weighted average return-on-equity ratio of 14.3% (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 2022, the company reported a combined ratio of 90.4% with a five-year average combined ratio of 91.6% (as calculated by AM Best). For the first half of 2023, Sava Re reported a strong net profit of EUR 40 million and a combined ratio of 89.9%. The full-year result will be impacted negatively by the third-quarter floods, particularly in Slovenia; however, the losses are expected to be within the group’s risk tolerances. The group originates approximately 70% of its gross written premium 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 28% market share (excluding supplementary health insurance business) in terms of gross written premium. The group’s insurance business is dominated by premiums written in Slovenia; however, the company continues to expand 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 develop its position prudently 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.