The two involved parties agreed the transaction in October 2019 by signing the Agreement on Transfer of Undertaking that was approved by Croatian Financial Services Supervisory Agency (HANFA) in January 2020. "In this way, under the provisions of the Insurance Act, GENERALI osiguranje took over the insurance portfolio, effective as of April 30th 2020, which consists of insurance contracts concluded by IZVOR osiguranje. The transfer of the portfolio has no effect on the past rights and obligations of the clients, which remain in force in their unaltered form and content".
CEO of GENERALI osiguranje Mario CARINI pointed out: "We welcome the clients of IZVOR osiguranje and we are ready, in line with our aspiration to being a Life-time Partner, to address their need for protection, especially at this sensitive time that is affecting the lives of all of us. This agreement confirms the focus and commitment of the GENERALI Group towards Croatia and the Austria, CEE and Russia Region, as also proven by the recent investments in the acquisitions of ADRIATIC SLOVENICA in Slovenia as well as CONCORDIA and UNION Investments TFI in Poland."
Founded in 2011, IZVOR osiguranje is a privately-owned non-life insurance company. Its offer includes motor, property, travel, liability and accident insurance and other types of insurance services.
According to the FY2019 published by HUO (Croatian Insurers Association) and centralized by Xprimm, the Croatian insurance market totaled HRK 10.5 billion, about EUR 1.4 billion. Of total 18 active insurers, GENERALI was the 5th largest in the country as GWP (EUR 108 million, market share of 7.63%), while IZVOR osigurane ranked 13th (EUR 9.2 million, 0.65%).