Analysis of data collected from various sources for the previous 2/3 year show the general trend in reported claims in non-life insurance sector.
Motor OD Claim analysis by “claim Hub”
Summary by Vehicle Class
| Vehicle Class | % of Settled OD Claims | Mean OD Claim Amount | Median OD Claim Amount |
| Private cars | 64.12% | 28,580 | 14,584 |
| Two-wheeler | 27.94% | 7,892 | 5,298 |
| Goods Carriers | 2.79% | 1,12,734 | 52,040 |
| Passenger Carriers | 4.70% | 32,870 | 15,082 |
| Other | 0.45% | 69,842 | 19,693 |
Summary by Vehicle Class
| Vehicle Class | % of Settled OD Claims | Mean OD Claim Amount | Median OD Claim Amount |
| Private cars | 64.12% | 28,580 | 14,584 |
| Two-wheeler | 27.94% | 7,892 | 5,298 |
| Goods Carriers | 2.79% | 1,12,734 | 52,040 |
| Passenger Carriers | 4.70% | 32,870 | 15,082 |
| Other | 0.45% | 69,842 | 19,693 |
The average claim size for the Pvt cars comes to Rs. 28580/-
whereas the claim size for small claims i.e. estimated loss below
Rs. 50000/- is about Rs. 14584/-.
Summary by Nature of Loss
All Type of vehicles
| Vehicle Class | % of Settled OD Claims | Mean OD Claim Amount | Median OD Claim Amount |
| Accident External Means | 97.93% | 24,021 | 11,300 |
| Fire | 0.08% | 162,476 | 30,900 |
| Natural Disaster | 0.64% | 68,691 | 7,366 |
| Theft of entire vehicle | 0.91% | 141,106 | 45,990 |
| Others | 0.43% | 75,149 | 16,603 |
Claim size for AEM claims is rs. 24021 whereas Average claim size for small claims i.e.
with estimate around Rs. 40000/-, comes to Rs. 11300/- only
Summary by Nature of Loss
Private Car
|
NOL |
% of Settled OD Claims | Mean OD Claim Amount | Median OD Claim Amount |
| Accident External Means | 98.94% | 26,990 | 14,521 |
| Fire | 0.04% | 192,246 | 76,790 |
| Natural Disaster | 0.39% | 156,234 | 77,870 |
| Theft of entire vehicle | 0.18% | 500,434 | 385,109 |
| Others | 0.45% | 76,840 | 19,521 |
Claim size for AEM claims for Pvt cars is Rs. 24021 whereas Average claim size for small
claims i.e. with estimate around Rs. 40000/- comes to Rs. 14521/- only
Summary by Nature of Loss
Passenger Carrying Vehicles
|
NOL |
% of Settled OD Claims | Mean OD Claim Amount | Median OD Claim Amount |
| Accident External Means | 97.85% | 35,423 | 18,140 |
| Fire | 0.16% | 233,859 | 132,924 |
| Natural Disaster | 0.61% | 61,949 | 20,321 |
| Theft of entire vehicle | 0.76% | 222,242 | 111,593 |
| Others | 0.62% | 109,427 | 23,360 |
Mean OD Claim size i.e average claim size for passenger carrying vehicles is Rs. 35423
whereas median is Rs. 18140/- only
Frequency Categorization
| Range for each Category | ||||
| Category | Private Car | Two Wheeler | Goods Carrier | Passengers Carriers |
| Low | <= 10% | <= 3% | <=3% | <=7% |
| Average | 10%-20% | 3%-6% | 3%-6% | 7%-10% |
| High | 20%-30% | 6%-8.91% | 6%-7% | 10%-18.5% |
| Very High | >30% | > 8.91% | > 7% | > 18.5% |
| India | 19% | 4% | 4% | 8% |
Frequency means % of claims ie. Number of claims reported for per hundred policies issued So higher frequency, means big losses.
Severity Categorisation
| Category | Private Car | Two Wheeler | Goods Carrier | Passengers Carriers |
| Low | <= 15,000 | <= 6,000 | <= 45,000 | <= 15,000 |
| Average | 15,000-25,000 | 6,000-8,500 | 45,000-86,000 | 15,000-30,500 |
| High | 25,000-40,000 | 8,500-9,220 | 86,000-1,03,000 | 30,500-34,000 |
| Very High | >40,000 | >9,220 | > 1,03,000 | >34,000 |
| India | 24,728 | 6,400 | 52,181 | 22,143 |
Severity means, how big is the claim size. The average claim size of Rs. 25000/- is the industry
standard whereas the claim size to the tune of Rs. 15000/- for small claims i.e. estimate below
50000/- is considered OK.
District wise Claim Frequency & Severity- Two Wheelers
Two Wheeler
| Top 10 Districts for Two Wheeler | |
| Frequency | Severity |
| GIRIDIH | TUENSANG |
| SANGRUR | DIMAPUR |
| KARGIL | KHOWAI |
| SIRMOUR | DADRA & NAGAR HAVELI |
| BANDIPORA | PHEK |
| SAHARANPUR | MON |
| FAZILKA | KINNAUR |
| GIR SOMNATH | KOHIMA |
| BARNALA | KALIMPONG |
| KRISHNA | NAMSAI |
Three districts of the state of Punjab falls in high frequency category & are in top 10 districts pan India.
District wise Claim Frequency & Severity- Goods Carriers
Goods Carrying Vehicles
| Top 10 Districts for Goods Carrier | |
| Frequency | Severity |
| FATEHPUR | CHITTORGARH |
| CHITRAKOOT | KARBI ANGLONG |
| BANDA | CHAMPAWAT |
| KHUNTI | SAHEBGANJ |
| CHARKHI DADRI | SOUTH GARO HILLS |
| SAHIBZADA AJIT SINGH NAGAR | DAMOH |
| ANJAW | BISHNUPUR |
| MAHOBA | WEST KAMENG |
| UPPER SUBANSIRI | TUENSANG |
| UPPER SIANG | WEST SINGHBHUM |
SAS Nagar of Punjab & charkha Dadri of Haryana also fall in top ten list on pan
India basis for claim frequency.
District wise Claim Frequency & Severity- Passenger Carriers
Passenger Carrier Vehicles
| Top 10 Districts for Passenger Carrier | |
| Frequency | Severity |
| CHARKHI DADRI | PAPUM PARE |
| KANINA | GONDIA |
| PHEK | DUMKA |
| SAHIBZADA AJIT SINGH NAGAR | WEST KAMENG |
| PUDUCHERRY | MALKANGIRI |
| HYDERABAD | MUKTSAR |
| NUH | DODA |
| GURGAON | KRISHNA |
| MEWAT | DIBANG VALLEY |
| HISAR | LAWNGTLAI |
One district of Punjab & 5 districts of Haryana fall in the top ten list for PCV’s on pan India basis.
Distribution of No. of claims settled on claim paid band:
75% of the Pvt car claims are settled within the claim amount of Rs. 50000/- but these are the assessed loss claims not to be mistaken as estimated loss. And only 70% of the claim fall within the 50000/- category
Ninety percent of the TW claims fall in the Rs. 50000/- estimated loss category.
ICR Trends (Average)
PVT Sector 70%
Public Sector 100+%
Average TAT
PVT. sector 15 days
Public sector 67 days
Most of the insurers provide data for claim clearance at the end of the year just to show their efficiency but practically it is of no meaning to general public. For example if a claim was reported in the month of May or June or July & cleared in December or before the year end, the promptness in claim settlement does not reflect in the yearly claim settlement figures. The actual efficiency of the insurer is reflected in TAT i.e. how fast or within how many days the claim is being paid. The TAT for the Pvt. Sector insurers is around 15 days where as the public sector insurers are lagging on this very important aspect with TAT of over 60 days. This is the main reason for the reduction in market share of the public sector insurers & pushing them to the brink of extinction.