For 2024 the Group plans to generate more than EUR 925m in business volume and a net profit above EUR 70m, which translates into a planned ROE of at least 10.5%.
Earlier today, Sava Insurance Group published its 2024 business plan. The management board believes that the business plan is ambitious both in terms of the development activities planned and the set targets. Further, the Group will continue to work towards the financial targets set in the 2023 – 2027 strategic plan.
The Group’s business volume is planned to exceed EUR 925m in 2024, growing at a rate of approximately 5% in the Group’s strategic markets and approaching one billion euros in business volume. Growth should mainly be driven by non-life business with premiums growing at least 6% in the EU market and up to 8% in non-EU markets. Double-digit growth of 10% is expected in the non-EU life business, while premium levels in the EU market will continue to be affected by the maturing of old policies. Finally, based on estimated fund inflow and projected returns, the Group is targeting revenue growth of at least 5% in asset management and pensions.
Sava will mainly focus on delivering its key three business strategy focus areas. The Group will further automate and digitalize customer interactions and develop digital and self-care solutions to improve and optimize the customer experience. It will continue to streamline its underwriting and customer service processes, as well as its internal business processes. In the area of sustainability, the Group will implement its sustainability policy for the strategy period.
Sava Re 2024 Business Plan
Source: Sava Insurance Group
Finally, if claims experience development in line with expectations for the last quarter, the Group plans to maintain a combined ratio of less than 95% for non-life & reinsurance segments, which is in accordance with the Group’s strategic targets. Through active management of the investment portfolio, the Group aims to increase the investment return to 2.2% and to maintain quality of investment portfolio as we have seen in the past.
Business volume growth planned for 2024
Source: LJSE, InterCapital Research