Statistical survey of motor liability insurance profitability 2019–2023: Result recorded for 2023 was excellent, despite slight decline in underwriting result
In 2023, premiums written on motor liability insurance totalled EUR 754 million, up by 0.6% from the previous year. The market remained concentrated, as the market share of the four largest players, measured by premiums written, was nearly 90%.
In 2023, the result recorded by motor liability insurance was excellent, a profit of EUR 377 million. This was the best result in the five-year review period. The strong result was evenly split between the positive underwriting result of EUR 198 million and the positive result on investment activities of EUR 179 million.
Of the underwriting result, EUR 140 million was explained by changes made to the calculation principles of technical provisions and particularly increases in discounting rates. The underwriting result, adjusted for changes made to the calculation principles, EUR 58 million, was the lowest in the five-year review period, although still clearly positive. The deterioration in the adjusted result is explained by an increase of EUR 34 million in paid claims and of EUR 13 million in operating expenses compared with the previous year.
The total result for 2023, adjusted for the changes made to the calculation principles, was a profit of EUR 237 million. During the review period, the total result adjusted for changes made to calculation principles has averaged EUR 183 million in profit and the average unadjusted total result has been EUR 221 million in profit. The insurance class has been profitable in the review period, although there have been large differences between different companies and different years in terms of the components of the result.
In the future, the survey will be conducted at least every three years
The Financial Supervisory Authority’s statistical survey of motor liability insurance profitability is based on data compiled from insurance companies. The survey not only presents information on actual results and their background data, but also market shares and other descriptive data. Company-specific results are published in a separate file.
From 1 January 2025, the Motor Liability Insurance Act has been amended so that, in the future, the Financial Supervisory Authority will be required to publish a statistical survey of motor liability insurance at least every three years.
For more information, please contact:
- Iiro Marttila, Actuary, tel. +358 9 183 5482 or iiro.marttila(at)fiva.fi.
- Ville Päivinen, Actuary, tel. +358 9 183 5338 or ville.paivinen(at)fiva.fi.