your cheapest
greenslip guaranteed
calculate now

100% Market
Coverage

Compare all six insurers

Cheapest Price
Guaranteed

No need to shop around

Everything You
Need to Know

Extensive, unbiased, trusted

...advertising...

Premiums, Profitability and Claims to 2010

A NSW Upper House Committee is currently enquiring into the injury insurance scheme, profitability and claims, and the role of The Motor Accident Authority in NSW.

As a result of the enquiry, there has been press about the difference between profits the insurers are estimating for the purpose of setting premiums and profits the insurers are actually making.  There has also been a focus on the number of claims.

Premiums, profitability and claims

Information on Premiums, Profitability and Claims to 2010 is set out below.

 Average Premium – June Quarter
Sydney Metro Passenger Vehicles
All NSW Vehicles
  % Change
   % Change
2003 $339.99 $328.00
2004
$343.00  1.2% $332.00 1.2%
2005
$324.00  -5.5% $320.00 -3.6%
2006
$314.00  -3.1% $309.00 -3.4%
2007
$322.00  2.5% $318.00 2.9%
2008
$329.00  2.2% $324.00 1.9%
2009 $389.00  18.2% $372.00 14.8%
2010 $428.00  10.0% $404.00 8.6%
 
2003/2010 26.3% 23.2%

Premiums listed in the table exclude GST.
Premiums are from MAA Annual Reports, Scheme Performance Reports.

Profit margins and profit and loss

Weighted Average Profit Margin in Insurer Filings Year Ending 30 June
Average Estimate of Discounted Profit and Loss as % of Premium Year Ending 30 September
2000 7.7% 30.0%
2001
7.9% 28.7%
2002
8.2% 31.0%
2003
8.2% 24.3%
2004
8.5% 27.0%
2005
8.7% 21.3%
2006
8.7% 18.0%
2007 6.0% 12.3%
2008 7.7% 5.0%
2009 8.1% -1.3%
 
Average 8.0% 19.6%

Weighted Average Profit Margins are from MAA Annual Reports, Scheme Performance Reports for 2004-2005 & 2009-2010.  2010 data for Estimate of Discounted Profit and Loss is not reported.

Average Estimates of discounted Profit & Loss are from MAA Annual Report, Scheme Performance Report for 2009-2010.

Number of claims

Estimated Ultimate Number of Claims Year Ending 30 September
2000 16,844
2001
15,502
2002
14,055
2003
12,885
2004
12,290
2005
11,757
2006
11,167
2007 10,729
2008 10,220
2009 11,732
 
Average 12,718

Estimated Ultimate Number of Claims are from MAA Annual Reports, Scheme Performance Reports for 2004-2005 & 2009-2010.  Reported 2010 data is not for a full year and is therefore not included

your opinion matters:

Show Discussion