General Insurers paid an astounding $326 million on more than 10,000 claims for Professional Indemnity (PI) and Public and Product Liability (PL) Insurance during 2008. About 80 per cent of claims reported and payments made were for Public and Product Liability business, while the remaining 20 per cent were for professional indemnity business.
These were some of the figures relating to insurance claims data for state and territory insurers released for the first time at the end of last year in a report by The Australian Prudential Regulation Authority (APRA).
The reports cover claims from 2003 to 31 December 2008 sourced from APRA’s National Claims and Policies Database (NCPD). Up until now, only reports containing claims and policy information for APRA-regulated general insurers have been produced from the NCPD. Due to constraints with data collection, reports from state and territory insurers, who submit their information to the NCPD on a voluntary basis, have not been published previously.
John Trowbridge from APRA expressed appreciation for the support of the state and territory insurers in supplying this data and agreeing for it to be released to the public in full without masking. He said, “That state and territory insurers have agreed to release the data in full, unmasked, means the information in the reports is far more useful and meaningful than would have been the case had the data been masked to protect confidentiality.”
The NCPD was established by APRA in 2003 at the request of the Federal Government in consultation with the insurance industry and other stakeholders. It aims to provide insurers, the community and State and Federal Governments with a better understanding of PL and PI insurance through the ability to monitor trends in premiums and claim costs.
Freelance Business Writer