Gothaer Asigurari Reasigurari recorded a gross written premium (GWP) of RON 84.31 million (EUR 18.82 million) in 2014, according to a press release by the company. This means a growth of over 26 percent as compared to previous year, as Gothaer has closed over 97,000 new insurance policies.
The number of claim files handled in 2014 was over 8,000, totalling up to RON 62.5 million (EUR 13.95 million). A large part of paid claims have been due to distinct natural events affecting mostly the agricultural line of business.
The net financial results of 2014 illustrate a RON 46.5 million (EUR 10.37 million) loss, assumed by Gothaer Asigurari Reasigurari in the planning of investments allocated for the development of its presence after its launch in Romania.
„Even though we enjoy a growth of GWP and Gothaer brand awareness on the Romanian insurance market, we must not forget that we are still in our development stage. Moreover, as we aim towards a long-term development, sustainable and profitable growth, we assumed from the start a first-stage of investment in our team, IT & operational systems, as well as up-date and underwriting new products. The investments in the development of the company, in the projects architecture intended to assure the stability and sustainability of the company, in the resources assigned to Solvency II implementation are the ones simultaneously contributing to the results and value of the company”, states Anca Babaneata, CEO of Gothaer Asigurari Reasigurari.
The strategy of the Gothaer group for penetrating the Romanian market has been based on taking over a small-sized company (former Platinum Asigurari Reasigurari), redirecting high acquisition costs of a medium-sized insurer toward investments in a modern sustainable platform, aligned both to the group’s requirements and to European quality standards.
During a press conference that took place on June 25th in Koln, Gothaer Group announced that 2014 results exceeded the expectations of the management, the group recording GWP up 4.9 percent to EUR 4.51 billion. This growth is above the level recorded by the German market, of 2.7 percent. Contributions to the Gothaer Group’s increase came from the segments Property/Casualty with a plus of 9.6 percent and Health with 4.9 percent. The Group’s profit was raised to EUR 122 million (as compared to EUR 108 million in 2013).
„Independent of our goals related to the sustainable development of the company, 2015 remains a critical year in its development, a year in which we focus on developing a healthy portfolio, the optimization and strengthening internal processes and we will allocate every effort to implement Solvency II,” concluded Anca Babaneata.