CTP Scheme Comparison. Matthew Gold

Transcription

1 CTP Scheme Comparison Matthew Gold

2 Data received from NSW QLD VIC SA TAS NZ NT WA (MAA) (MAIC) (TAC) (MAC) (MAIB) (ACC) (TIO) (ICWA)

3 Method Used data template information received Index approach to show trends in data over recent times Supplement with other publicly available information

4 Caution Not all Schemes are the same! Purpose of the presentation is not to say good scheme / bad scheme but to highlight differences and context Schemes own updates may provide more context for the outcomes seen

5 Scheme Summary Private Public No Fault NZ, VIC, TAS, NT Fault NSW, QLD SA, WA No data for ACT

6 Average Premium Recent upwards trends in most schemes Reductions in NSW, QLD and NZ NSW MACA and QLD CL Act Legislative reform impact discussed later Average Premium - Fault Based Schemes Average Premium - No Fault Schemes Average Premium Index Average Premium Index NSW QLD SA WA VIC NT ACC TAS

7 Reported Claim Frequency Continued claim frequency reductions across most jurisdictions Highest frequencies generally seen in NF Claim frequency per 1,000 vehicles NSW QLD SA VIC NT ACC WA TAS

8 Reported Claim Frequency Greater reductions in fault based schemes Changes more so due to utilisation rather than casualties Reported Claim Frequency - At Fault Reported Claim Frequency - No Fault Claim frequency index Claim frequency index NSW QLD SA WA VIC NT ACC TAS

9 Large Claims Large claims frequencies roughly constant Large claims % all claims increasing Overall frequency reductions from small claims Large Claim Frequency Large Claims % All Claims Claim frequency per 1,000 vehicles Large Claims % All Claims 2.0% 1.8% 1.6% 1.4% 1.2% % 0.8% 0.6% 0.4% 0.2% 0.0% NSW QLD SA VIC NT ACC WA TAS NSW QLD SA VIC NT ACC WA TAS

10 Average Size Claim Size ($000) Average Claim Size NSW SA VIC ACC WA TAS A general upwards trend over past 3 years Variable across schemes and changes for different reasons No ultimates for QLD, NT

11 Cost Per Policy (CPP) 1.2 Ultimate CPP Claim Size ($000) NSW SA VIC ACC WA TAS Recent reductions in most at fault schemes Some rises in no-fault states No ultimates for QLD, NT

12 Impact of Legislative Reforms Direct impacts seen in NSW (MACA ) GD threshold Limitations on legal costs ADR mechanisms QLD (CL Act ) Included scale of GDs Limitations on legal costs SA (Wrongs Amendment Act ) Included scale of GDs

13 Legislative Reforms Average Premium 2.5 Average Premium Average Premium Index MACA Tort Reform 0.5 NSW QLD SA NSW and QLD premiums fell immediately or soon after SA premiums continued to increase (were in deficit at the time)

14 Legislative Reforms Claim Frequency 1.2 Claim Frequency Index Claim frequency index MACA Tort Reform 0.0 NSW QLD SA Claim Frequency fell markedly in all 3 states Primarily a utilisation effect (some subsequent falls in casualty rates)

15 Legislative Reforms Claim Frequency Claim frequency Index Large Claim Frequency Index MACA Tort Reform NSW QLD SA Large claim frequencies flattish for NSW, QLD post reforms Large reductions for SA Frequency reduction in both large and small claims (but small dominates)

16 Legislative Reforms Claim Size Claim Size Index MACA Tort Reform NSW QLD Approx SA Claim Size increased in all 3 states Claim frequency reductions mainly in small claims

17 Legislative Reforms CPP Claim Size ($000) CPP MACA Tort Reform NSW QLD Approx SA Frequency reductions greater than claim size increases in all instances real reductions

18 NSW Recent real premium reductions in NSW QLD SA Continued reductions Currently Increased premiums, combined with lower claims costs in SA has lead to a better funding position Recent reductions in premiums for the first time in 15+ years

19 Random Interesting Bits Gender No Fault schemes have a 50/50 split in terms of claimant gender At Fault schemes have a higher proportion of female claimants about 60/40 More males at fault? 100% FEMALE PROPORTION FAULT SCHEMES NO FAULT 50% 0% NSW QLD SA WA VIC NT ACC TAS

20 Random Interesting Bits Age Age mix variable NF more younger drivers (generally) Younger males at fault? FAULT SCHEMES NO FAULT Proportion Of Claims 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% NSW QLD SA WA VIC NT ACC TAS < >65 Unknow n

21 Random Interesting Bits Age Decreasing proportion of claimants under 30 years old Both Fault and NF Proportion of Claims < 30 yo Claim frequency per 1,000 vehicles NSW QLD SA WA VIC NT ACC TAS