1. MTPL Insurance Market in Macedonia and the Respective Regulation
Klime Poposki
MTPL Insurance Market in Macedonia
and the Respective Regulation
FOURTH INTERNATIONAL INSURANCE CONFERENCE
„Cumpulsory motor third-party liability insurance and
the Guarantee fund”
23-25 October 2012, OHRID hotel-Metropol

2. Structure of the presentation
Insurance legislation in Macedonia
Insurance market - overview
Motor insurance - overview
MTPL
Gross written premium (development, share, ….)
Channel distribution
Accidents and claims
Claims paid and reserves indicators
Expenses
Uninsured vehicles
Complaints
Source:
ISA
National Insurance bureau
Ministry of interior in RM
MTPL Market Liberalization Project in Macedonia, World Bank
Inception Report, May 2012
Axco Global Statistics/Industry Associations and Regulatory Bodies
CEA Statistics N°38
The European Motor Insurance Market,February 2010

3. Insurance Legislation in Macedonia
Law on Insurance Supervision;
Law on Compulsory Insurance in Traffic;
Rulebooks:
Rulebook on chart of accounts for insurance and reinsurance undertakings;
Rulebook on the form and the content of the balance schemes and detailed content of the Annual reports of the insurance and/or reinsurance undertakings;
Rulebook on the statistical insurance standards of the insurance and/or reinsurance undertakings;
Rulebook on minimum standards for calculation of technical provisions;
Rulebook on calculation of the required level of solvency margin;
Rulebook on types and description of items for calculation of the capital of the insurance and/or reinsurance undertakings;
Rulebook on valuation of balance sheet’s items …
Other Laws that complement the Insurance legislation
Law on Contracts and Torts
Company Law

4. Insurance Legislation in Macedonia
Law on Compulsory Insurance in Traffic:
The establishment and the role of National Insurance Bureau;
Establishment of the Guarantee Fund and maintenance of its minimum amount which is determined by this Law
Printing of the Green Card form and allowing the insurance companies to issue GC
Establishment of the MTPL Commission;
MTPL Tariffs
Minimum and maximum rate of technical premium;
Minimum sums insured;

5. 15 4 11 9 21 Insurance market in Macedonia Insurance Undertakings
Life Insurance Undertakings 11
Non-life Insurance Undertakings 9
Insurance agencies 21
Insurance brokerage companies
683
Insurance agents

6. Structure of the Gross Written Premium

7. МI Casco BI GC Motor Insurance Motor insurance
Motor third-party liability insurance MTPL
Domestic motor third-party liability insurance DMTPL
Green card GC
Border Insurance BI
Other

8. (share of MI in the total nonlife insurance)
Gross Written Premium
(share of MI in the total nonlife insurance)
Share of motor insurance in the total nonlife premium
100
Share of the respective risk in the total motor insurance premium

9. Gross written premiums – relative change, MI
m EUR
Europe
Macedonia

10. Claims ratio, MI

11. Gross written premium and Number of contracts, MTPL

12. Share of the MTPL premium in the total portfolio
2011
Колку е поголемо пазарното учество на компанијата толку е помало учеството на MTPL во нејзиното вкупно портфолио.

13. Share of company’s MTPL premium in the total MTPL premium

14. Average GWP development, DMTPL
EUR

15. Channel distribution, MTPL

16. Key factors influencing claims
Claims frequency
Road safety
Traffic conditions
Age and driving experience
Claim costs
Vehicle repair and spare part prices
Medical care prices
Personal injuries claims compensation
Fraud
Legal expenses costs
Sum insured

17. The average increase of the accidents with injured is 11%
The average increase of the number of accidents in the last 5 years is 10,47%
The average increase of the accidents with injured is 11%

18. Comparison between the growth of accidents and the
number of accidents reported (MTPL)
Во 2011 година покрај ново пријавените штети вклучени се и повторно пријавените штети
Во бројот на настанати штети не се вклучени штетите од Европскиот извештај

19. Indexes
CMI индексот претставува индекс кој го објавува Фондот на здравство на РМ и значењето е следното: Колку е поголем CMI индексот, толку е поголем бројот на услуги со високи трошоци. Следствено, со повеќе реализирани услуги со високи цени, здраствените установи добиваат повеќе средства по пациент.
Значи, иако CMI индексот не претставува класичен индикатор за инфлацијата на цените на здравствените услуги, сепак индицира на некакво зголемување на истите.

20. Development of country’s minimum limits

21. Brief summary
So far, since 2008 …
Minimum limits (by approx. 238%)
Number of contracts concluded (by approx. 31%)
Average premium per contract for DMTPL (by approx. 25%)
Operational costs and inflation
however….

22. Claims paid, MTPL

23. Claims settlement pattern, MTPL
Претставува показател за Динамиката на решавање на штети, и се добива како учество на бројот на решени штети (ликвидирани +одбиени) во вкупниот број на штети кои биле нерешени на почетокот на годината и бројот на пријавени штети во текот на годината.

24. The development of claims paid and reserves, MTPL

25. MTPL ratios
Согласно новиот Контен план, почнувајќи од 2011 година, исплатените износи по основ на неосигурени и непознати возила, се составен дел на трошоците на друштвото, за разлика од претходно кога беа составен дел од Бруто исплатените штети.
Следствено на пример во 2010 година овие износи го зголемувале коефициентот на штети, а во 2011 коефициентот на трошоци

26. MTPL combined ratio

27. Claims ratio, MTPL
Avg
Колку е поголемо учеството на MTPL во вкупното портфолио, толку е помал коефициентот на штети.
Или, согласно графиконот од претходно, поголемите компании има поголем коефициент на штети и обратно

28. Technical provisions, MTPL

29. Claims in court procedure, MTPL

30. Uninsured and unknown vehicles

31. Complaints, MTPL

32. Thank you for your attention
Klime Poposki
The President of the Council of Experts,
Insurance Supervision Agency of the Republic of Macedonia