Sabre Insurance Group (LSE:SBRE) has reported a 14.3% increase in gross written premiums to £173.4 million for the first nine months of 2026, supported by growth in its motor vehicle and motorcycle insurance businesses.
The UK motor insurer said core motor vehicle premiums increased by 16.5% compared with the corresponding period last year, while motorcycle premiums rose by 52.9%.
Growth in the motorcycle business was supported by the continued rollout of Sabre Direct, the company’s direct-to-consumer motorcycle insurance offering.
However, taxi insurance premiums declined significantly during the period, reflecting differing trading conditions across the group’s underwriting activities.
Sabre reported claims inflation of between 6% and 7% and said it was incorporating these higher costs into its insurance pricing.
The company maintained its expectation that undiscounted net insurance margins will remain within its target range of 18% to 22%.
Management reiterated its full-year financial guidance, forecasting profit before tax for 2026 slightly ahead of the previous year’s result.
Sabre also expects year-on-year growth in gross written premiums to moderate during the fourth quarter as it continues to prioritise underwriting profitability over policy volumes.
The insurer said capital generation remained sufficient to support its dividend policy, although the update did not specify a new dividend amount.
As part of its operational reporting changes, Sabre has revised its segment structure to combine motor vehicle and taxi insurance into a single reporting segment.
The group also reaffirmed its longer-term Ambition 2030 objective of achieving at least £80 million in annual profit before tax.
Management expects claims inflation to remain a factor in the motor insurance market and believes further industry-wide premium increases could create additional opportunities.
However, the company acknowledged uncertainty around the timing of broader market repricing.
For investors, the trading update indicates that premium growth has continued despite higher claims costs, while Sabre’s expectations for full-year profitability remain unchanged.
The difference between growth rates across motor vehicle, motorcycle and taxi insurance also highlights the varying contributions of the group’s underwriting activities.
Looking ahead, developments to monitor include fourth-quarter premium growth, claims inflation, insurance pricing trends and the company’s ability to maintain margins within its stated target range.
Progress towards the Ambition 2030 profit objective and future capital distributions will also remain relevant to the group’s longer-term financial performance.
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