The Australian Prudential Regulation Authority (APRA) today released the first edition of its General Insurance Claims Development Statistics publication which details trends in claims payments and reserves across the general insurance industry by class of business.
The new publication follows a recent consultation with the industry on proposals to publish additional general insurance data to improve the relevance of APRA’s statistics to users, and address feedback from stakeholder surveys and other consultations.
By publishing new data for the development of claims costs and estimated ultimate loss ratios by accident year, APRA intends to enable a better understanding of the developing performance of each class of business, as well as any trends.
The statistics to December 2016 show the estimated ultimate loss ratio for the 2016 accident year in CTP motor vehicle (97.0 per cent), public and product liability (58.4 per cent), and employers’ liability (83.9 per cent) are in line with recent accident years at the same stage of development. However, the estimated ultimate loss ratio in professional indemnity (78.7 per cent) is higher than recent accident years at the same stage of development.
In the 2016 financial year, significant reserve releases occurred across all recent accident years in the long tail classes of business of CTP motor vehicle, public and product liability, professional indemnity, and employers’ liability.
Refer to the December 2016 General Insurance Claims Development Statistics publication.