The International Association of Engineering Insurers TM Engineering Insurance Premium and Loss Statistics 29-211 Presented by Allianz Global Corporate & Specialty 22 26 September 212 Rio de Janeiro, Brazil
Development of Engineering Premium 29 211 all IMIA Members Change of total in % -5.79 9,183 265 ion -4.8 8,89 226 +6.73 9,41 151 8,918 8,583 9,25 IDI all other LoB 29 21 211 2
Development of Premiums 29 211 per Line of Business % of total 9,183 265 3 895 premium (2.9) (3.3) (9.7) 8,89 226 292 943 (2.6) (3.3) (1.7) 9,41 151 338 978 (1.6) (3.6) (1.4) 3,765 (41.) 3,539 (4.2) 3,528 (37.5) IDI LOP EE M, BE, O CAR, EAR, G 3,958 (43.1) 3,89 (43.2) 4,46 (46.9) 29 21 211 3
Premiums and Claims 211 per Country (excl. IDI) Loss Ratio (%) Finland Sweden Taiwan Austria Mexico Netherlands Spain Switzerland Australia Turkey Brazil Canada Italy USA Japan Russia Germany 5 1 15 2 Claims Premiums 29 21 211 47 73 58 41 52 53 65 67 32 86 56 66 6 38 39 45 53 5 64 91 11 43 47 41 5 17 23 18 45 29 45 5 115 22 23 49 26 46 16 12 72 74 73 11 25 29 44 31 5 13 74 4
IDI - Premiums and Claims 211 per Country Finland 2 4 6 8 1 Sweden Taiwan Austria Netherlands Note: Only two countries reported IDI premium and losses Claims Premiums Loss Ratio (%) 29 21 211 Mexico Spain 52 82 15 32 63 Switzerland Australia Turkey Brazil Canada Italy 2 68 14 6 29 USA Japan Russia Germany 5
*) Premiums / Claims / Total Amount Loss Ratios all Lines of Business (LoB) 29-211 Premiums Loss Ratios for all claims and large claims in % 9,183 8,89 9,41 4,477 4,494 4,91 824 792 717 29 21 211 1 9 8 7 6 5 4 3 2 1 48.8 51. 52.1 9. 9. 7.6 29 21 211 *) Note: >= 1. Mill US$ 6
*) Premiums / Claims / Loss Ratios M, BE, O 29-211 Premiums Loss Ratios for all claims and large claims in % 3,766 3,539 3,528 2,99 2,45 1,844 455 39 286 29 21 211 1 9 8 7 6 5 4 3 2 1 55.8 52.1 58. 12.1 8.7 8.1 29 21 211 *) Note: >= 1. Mill US$ 7
*) Premiums / Claims / Loss Ratios LoP 29-211 Premiums Loss Ratios for all claims and large claims in % 338 299 292 191 29 16 12 29 21 211 23 35 11 1 9 8 7 6 5 4 3 2 1 71.6 63.7 68. 5.4 3.9 1.5 29 21 211 *) Note: >= 1. Mill US$ 8
*) Premiums / Claims / Loss Ratios EAR, CAR, Guarantee 29-211 Premiums Loss Ratios for all claims and large claims in % 4,46 3,958 3,89 2,42 1,859 1,666 32 421 354 29 21 211 1 9 8 7 6 5 4 3 2 1 48.8 42.1 46.3 8.1 11. 8. 29 21 211 *) Note: >= 1. Mill US$ 9
*) Premiums / Claims / Loss Ratios EE 29-211 Premiums Loss Ratios for all claims and large claims in % 895 943 978 482 531 512 3 49 42 29 21 211 1 9 8 7 6 5 4 3 2 1 53.9 56.4 52.3 3.3 5.2 4.3 29 21 211 *) Note: >= 1. Mill US$ 1
*) Premiums / Claims / Loss Ratios IDI 29-211 Premiums Loss Ratio for claims total and large claims in % 1, 265 226 9, 8, 7, 151 72 39 51 3 1 29 21 211 6, 5, 4, 3, 2, 1,, 47.7 22.4 14.7 1.2.6 29 21 211 *) Note: >= 1. Mill US$ 11
Number of per LoB 27-211 25 2 241 17 14 22 198 2 1 17 17 6 5 29 17 15 Total Engineering 15 1 127 1 16 52 122 86 96 12 IDI EE LoP CAR. EAR. G M.BE.O 5 58 88 91 79 75 27 28 29 21 211 12
- Cause of Loss: all LoB 27-211 A) Faulty Operation B) Faulty Material and Workmanship C) Faulty Design D) Fire E) Explosion F) Natural Hazards G) Other Causes 35 3 25 2 15 1 5 A B C D E F G A B C D E F G A B C D E F G A B C D E F G A B C D E F G 27 28 29 21 211 13
- Cause of Loss: M, BE, Others 211 1 9 8 7 6 5 4 3 2 1 A) Faulty Operation B) Faulty Material and Workmanship 93 6 C) Faulty Design D) Fire 12 11 4 E) Explosion F) Storm 78 G) Flood and Inundation H) Earthquake I) Others A B C D E F G H I 27 14
- Cause of Loss: LoP 211 A) Faulty Operation C) Faulty Design E) Explosion G) Flood and Inundation B) Faulty Material and Workmanship D) Fire F) Storm H) Earthquake I) Others 3 25 2 15 1 11 9 1 5 4 1 A B C D E F G H I 15
- Cause of Loss: EAR, CAR, Guarantee 211 A) Faulty Operation C) Faulty Design E) Explosion G) Flood and Inundation B) Faulty Material and Workmanship D) Fire F) Storm H) Earthquake I) Others 12 1 11 8 6 4 2 66 4 42 34 33 22 17 A B C D E F G H I 16
- Cause of Loss: EE 211 A) Faulty Operation C) Faulty Design B) Faulty Material and D) Fire Workmanship E) Explosion F) Storm G) Flood and Inundation H) Earthquake I) Others 5 45 4 35 3 25 2 15 1 5 32 7 3 A B C D E F G H I 17
- Cause of Loss: IDI 211 A) Faulty Operation C) Faulty Design E) Explosion G) Flood and Inundation B) Faulty Material and Workmanship D) Fire F) Storm H) Earthquake I) Others 5 45 4 35 3 25 2 15 1 5 A B C D E F G H I 18
Main Items affected per LoB 211 A) Turbo Generator Sets B) Boilers and Pressure Vessels C) Compressors and other mechanical plants D) Electrical Machines and Equipment ion E) Production Machinery and Process Equipment F) Lifting and Transportation Equipment G) Chemical Plants H) Electronic Equipment I) Civil Engineering Works J) Erection of Plants K) Other Property 14 12 1 14 133 8 75 6 4 2 4 44 45 34 32 32 22 1 1211 13 5 5 7 1 2 3 3 6 5 A B C D E F G H I J K M. BE. O A B C D E F G H I J K LoP 22 A B C D E F G H I J K EAR. CAR. G 42 A B C D E F G H I J K EE A B C D E F G H I J K IDI 19
Key to the abbreviations BE CAR EAR EE G IDI LoB LoP M O Boiler Explosion Contractor s All Risks Erection All Risks Electronic Equipment Guarantee Inherent Defects (Decennial) Insurance Line of Business Loss of Profits (MLoP & ALoP) Machinery Breakdown Others Please note All figures are based on information supplied to IMIA by its Member countries. It should be borne in mind that these figures may not always contain IBNR provisions, and that premium patterns may vary between reporting member countries and companies. Inherent Defects Insurance (IDI), also called Decennial Insurance in French speaking countries, is written only in a few countries. It is a compulsory class of business in some of these. Due to the different legal situation and others specifics, the scope of cover varies greatly from country to country. Therefore any attempt to make comparisons is very difficult and may lead to wrong conclusions. Since IDI contracts grant cover for material damage caused by latent defects for a period of (usually) ten years as from completion of the contract works, special attention needs to be given to the issue of premium earning patterns during the policy duration. These patterns vary considerably from country to country and are even regulated in some of them by the insurance supervisory body. IMIA is not in a position to reflect the various regulations governing the administration of this line of business in the various countries nor can IMIA validate the method used by its members in establishing their figures. Therefore IMIA recommends to adopt particular care when drawing conclusions from premiums, claims figures and loss ratios reported herein especially in respect of IDI. For further details it is recommended to contact the IMIA-delegate from a particular member country to obtain more accurate information on the particulars of a specific line of business in his country. 2