Sabre posts COR of 84.2% for 2024

Specialist motor insurer Sabre has posted a strong combined operating ratio (COR) of 84.2% in its full-year 2024 financial results, representing a year-on-year improvement of 7.4 percentage points. 

The firm also achieved its highest ever gross written premium result of £236.4m, which represented a 5% increase on its 2023 achievement of £225.1m. 

Net loss ratio also fell by 2.9 percentage points to 58.7%, with net insurance margins increasing to 17.6% from a 2023 figure of 10.6%. 

In its results statement, Sabre explained that its strong financial performance was supported by the maintenance of “underwriting discipline” and noted that it “increased prices in 2024 in line with our view of high single digit claims inflation”. 

As a result of the performance, Sabre also announced that its share dividend would rise to 13p per share, which was up 44.4% year-on-year. The group also intends to launch a share buyback programme of £5m. 

Cycle management

Sabre chief executive Geoff Carter commented: ”We are extremely pleased with our performance in 2024, demonstrating strong cycle management over the past twelve months.

”We grew strongly in the first half of the year when market conditions were attractive and we maintained our strict underwriting discipline despite a steep decline in market prices during the second half.” 

In 2024, Sabre also launched its Ambition 2030 strategy, which detailed its intention to reach a profit before tax level of at least £80m by 2030. Carter said that 2024’s result of £48.6m had “encouraged” this ambition. 

He added: ”Loss ratios on core motor vehicle and motorcycle are excellent and underpin this strategy, while our complementary growth initiatives are progressing as planned.”

These initiatives include the planned March 2025 launch of Sabre Direct, the firm’s in-house motorcycle brand, and core motor vehicle pricing tests planned for H2 2025. 

Carter continued: “We continue to expect profit growth from Ambition 2030 to be weighted towards the second half of the six year period as these initiatives gain further traction and momentum – complementing our core business.”