Chennai: A complete sum of Rs 35,519 crore of motor insurance coverage claims had been settled throughout 2018-19 by Indian normal insurance coverage firms whereas the gross underwritten premium was Rs 64,522.35 crore, the Insurance coverage Data Bureau of India mentioned on Tuesday.In its annual report on motor insurance coverage for fiscal 2018-19, the Bureau mentioned that Rs 35,519 crore of motor claims — comprising Rs 18,262 crore in the direction of car harm and Rs 14,257 crore for third celebration legal responsibility — had been settled throughout 2018-19.
In accordance with the report, motor insurance coverage continues to be the most important line of enterprise for the final insurers with almost 40 per cent share of the gross underwritten premium, at Rs 64,522.35 crore with a development fee of 9 per cent for FY 2018-19.
Six states — Maharashtra, Tamil Nadu, Uttar Pradesh, Karnataka, Gujarat and Delhi — contribute almost 50 per cent of the full insurance policies and claims.
Uninsured autos as a proportion of autos on Indian roads for FY19 remained at a excessive of 57 per cent and in 15 states, greater than 60 per cent of the autos had been uninsured, thus displaying a slight improve over the earlier monetary 12 months.
In accordance with the report, the typical settlement quantity for demise claims throughout fiscal 2018-19 was Rs 901,207 and for damage claims it was Rs 251,094 which confirmed a rise over FY 2017-18.
The very best common for demise claims was in Kerala, at Rs 12,13,671 and lowest in Bihar at Rs 614,306.
In accordance with the Insurance coverage Data Bureau, all of the claims reported and settled throughout 2018-19 have been thought of for the report.
This contains the settled claims from present in addition to earlier accident years that are settled in 2018-19.
For 2018-19, 3.25 lakh third celebration claims had been reported and almost 3.05 lakh third celebration claims had been absolutely settled.
The incurred quantity for the reported claims throughout 2018-19 was Rs 14,257 crore.
Usually, the Union Territories and the southern states have a excessive common as in comparison with different states.
The lag in reporting and settlement of third celebration claims remained fixed compared to the earlier two monetary years.
The variety of insurance policies and whole premium distribution for FY19 was similar to the earlier monetary 12 months.
As many as 69 per cent of the personal harm or car harm premium is derived from personal vehicles, two-wheelers contribute 11 per cent, items carriers contribute 11 per cent and passenger carriers contribute 5 per cent.
In case of whole premium, personal vehicles contributed 43 per cent, two-wheelers 12 per cent, items carriers contribute 28 per cent, passenger carriers contribute 12 per cent and the remainder is from others.
For the interval underneath evaluation, the uninsured autos stood at 57 per cent of whole autos on highway logging a 3 per cent development over 2017-18.
The majority of the uninsured autos are two-wheelers with the un-insured being as excessive as 66 per cent, the report mentioned.
There have been 15 states which had uninsured autos to the extent of greater than 60 per cent.
For 2018-19, 72 lakh personal harm claims had been reported and almost 60 lakh of the full reported claims had been absolutely settled (excluding repudiation and closed with out cost).
The paid quantity for the settled claims was Rs 18,262 crore.
