This year, as of last month, the loss ratio of major property and casualty insurance companies for auto insurance has been analyzed to be around 83%.
According to the property and casualty insurance industry on the 24th, the loss ratio for auto insurance of five major companies, including Samsung Fire & Marine Insurance, Hyundai Marine & Fire Insurance, DB Insurance, KB Insurance, and Meritz Fire Insurance, was 82.8% (based on a simple average of the five companies) from January to May this year, an increase of 3.4 percentage points compared to the same period last year.
Last month's loss ratio was 81.2%, an increase of 1.6 percentage points compared to the same period last year. The industry considers the loss ratio corresponding to the breakeven point for auto insurance to be around 80%.
An insurance industry official noted, "The loss ratio is rising due to a decrease in premium income from reduced auto insurance premiums and an increase in loss amounts, and it is expected that the auto insurance loss ratio will continue to worsen due to increased damage costs from concentrated summer rainfall and monsoon, as well as ongoing increases in maintenance fees, parts costs, and repair costs."