Maribor, 19 March (STA) - Zavarovalnica Maribor, Slovenia's no. 2 insurer, posted little more than EUR 10.5m in profit in 2011, which is practically level with 2010. CEO Drago Cotar told the STA on Monday that the company was happy with the result which he attributed to the fact that last year saw no major natural disasters.
He added that the insurer also changed its strategy somewhat last year. "Our goal is no longer to increase our market share at all costs. We bid farewell to those who regularly caused us damage."
Zavarovalnica Maribor collected more than EUR 263m in premiums last year, which is entirely in line with plans. While property insurance premiums were down (at some EUR 189m), life insurance premiums were up (at some EUR 75.5m).
Damages were on the other hand lower than expected, reaching EUR 140m (EUR 102m in property insurance and EUR 37m in life insurance).
Zavarovalnica Maribor was the most profitable company within the NKBM financial group, which finished 2011 with a net loss of EUR 54m.
Cotar hopes that the owners, the NKBM bank, which holds 51%, and re-insurer Pozavarovalnica Sava with a 48.7% stake, will allocate at least some of the profit for reserves.
In 2012, the insurer expects its profit to decrease by more than EUR 2m due to the crisis. "The paradox is that people would need to be better insured in the time of crisis but they have less money at their disposal," he explained.