Kopaonik Business Forum: DUNAV’s Markovic Champions Unified Approach To Risk Management In Insurance Sector

On the second day of the Kopaonik Business Forum, industry leaders convened for a crucial panel discussion titled “Insurance – The New Reality.” Chaired by Milo Markovic, a distinguished member of Dunav Insurance Company’s Executive Board, the discussion delved into pressing issues facing the insurance sector.

A focal point of the discourse was the looming specter of catastrophe losses and inflation, perceived as grave threats to the industry’s stability. Markovic highlighted the urgency of addressing catastrophe losses, advocating for the establishment of an insurance pool. This proposed initiative would foster collaboration between the state, insurers, and reinsurers, each contributing their expertise to mitigate risks effectively.

Markovic underscored the pivotal role of the state within this framework, emphasizing its responsibility in setting uniform criteria for insurance acceptance and damage compensation. Furthermore, he advocated for compulsory insurance measures and ensuring systemic stability. Collaboratively, insurers would facilitate widespread insurance coverage and claims processing, while reinsurers would leverage their extensive resources to manage large-scale risks.

The panelists also dissected the disruptive impact of inflation, which continues to outpace general market trends, particularly affecting segments like voluntary health insurance. As the industry grapples with these challenges, the imperative of nurturing and retaining talent within the insurance sector emerged as a critical theme.

Markovic concluded by spotlighting ongoing efforts by the Association of Serbian Insurers to cultivate a skilled workforce through specialized courses and educational initiatives. Encouraging young individuals to explore career opportunities in insurance, he affirmed the sector’s resilience and adaptability in navigating the evolving landscape.

After a grueling 2022, fraught with geopolitical crises and inflationary pressures stemming from the turmoil, Dunav Osiguranje had set optimistic objectives for 2023. Milo Markovic outlined these goals, which included maintaining its market leadership, fostering insurance premium growth, achieving high efficiency in claims settlement, and rationalizing operating expenses.

“Now, when we are aware of the 2023 results, I can proudly say that Dunav Osiguranje has
met its expectations. Dunav’s market share is 26 percent, which confirms its leader’s
position. Insurance premiums have exceeded 40 billion dinars, which is a 14.3 percent
growth relative to the past year,” Milo Markovic highlighted.

In 2023, compared to 2022, the level of claims gradually stabilized, with the volume of settled claims increasing by 11.9 percent. Markovic emphasized Dunav Osiguranje’s remarkable efficiency in claims settlement and payment. “This is best illustrated by the fact that the Company had almost no unpaid settled claims in its balance sheets on the last day of 2023, or, if any, they were less than 0.3 percent.”

In 2023, Dunav Osiguranje kept implementing its stable dividend policy that envisaged the
payment of dividends to the amount of 50 percent of the Company’s net profit.

“All of this sends a message to our Insured that they are dealing with a secure and stable
company, and that their rights are highly guaranteed,” Milo Markovic emphasized.