It is commonly known that anyone wishing to legally drive their vehicle on NSW roads need to purchase a greenslip or compulsory third party insurance cover.
This cover will allow them to claim for benefits if injured in a motor vehicle accident. This cover also extends to providing medical care to the driver at fault if his injuries are extremely serious in nature. These claims can include earning lost due to injury, any medical expenses incurred or non-economic loss. Any damage to property is not allowed to be claimed under CTP Insurance.
A total of seven different insurers who provide CTP cover to vehicle owners do so by charging a premium.
The premiums not only cover claims made by clients but part of it also goes towards managing the policies and return on investment for insurers CTP business.
Looking at the statistics provided in the MAA Annual Report 2012-13, QBE insurance group gained a further 1.1 percent of market share in the past seven years while the Insurance Australia Group lost approximately 1.5 percent of the market share in the same period.
Because market share of insurers fluctuates during the year, it’s seen that some insurers gain market share from one quarter to another while others lose market share.
Report indicates that NRMA holds the highest percentage of market share based on premium volume which stands at 35.3 percent. QBE owns 19.9 percent while Zurich stands at 6.2 percent. The Allianz group which consists of Allianz and CIC Allianz owns 16.7 percent of the premium market share while the remaining 21.8 percent belongs to Suncorp which is AAMI and GIO combined.
The MAA Annual Report 2012-13 also indicated that $2.58 billion of total premium was collected in the reporting year. This was a rise of 10.8 percent compared to the previous year, not including GST and levies.