Insurers around the world have been hammered by the pandemic with Lloyd’s estimating earlier this year that none life insurers
WHICH IS THE PERFECT MONTH TO BUY CAR INSURANCE?
For the first time, data reveals that Car Insurance Policies are most expensive in the month of December.
Over the past four years, the cost of typical car cover has been 13% higher in December in the UK compared to the monthly average for the rest of the year.
This means drivers purchasing annual policies in December will unknowingly be caught in a price trap, whereby they will always pay the most for their insurance.
The average Car Insurance Policy is 19% more expensive in December when compared to the cheapest month of the year.
The cheapest month to buy Car Insurance varies from year to year, but between 2013 and 2016, December was by far the most expensive month.
Part of the reason is that over Christmas and around New Year, there is a limited availability of call centres and a lot of companies doing IT work. So fewer Insurance quotes are generated.
Due to drop in competition, those who are offering Insurance quotes are able to charge higher prices.
Conversely, January is a very good time for low prices, as every provider is back in the market quoting furiously to get a good start to the year.
CLAIMS LOSSES FROM CALIFORNIA’S WILDFIRES TOP $3 BILLION; STATE SAYS SOME INSURERS MAY EXIT
Insured losses from last month’s wildfire disaster in Northern California topped $3.3 billion, the state Department of Insurance said Tuesday.
The claims for insured losses on residences, businesses and vehicles represents a three-fold jump from figures released two weeks by the state agency. Data was based on losses as reported to the state by 15 major insurers.
“Behind each and every one of these claims, and behind the over $3 billion in insured losses claims, are ordinary people,” Insurance Commissioner Dave Jones said in a call with reporters. “Tens of thousands lost everything in what has proven to be the deadliest and one of the costliest set of wildfires in our state’s history.”
Jones also said there’s a chance insurance companies now may take a second look at areas once considered low wildfire risk and be hesitant to issue policies given the devastation seen in last month’s deadly fire disaster.
“We may also see, unfortunately, insurance companies updating their models of risk associated with these fires,” he said. “And that may mean in some cases some insurers will decide to write less insurance in some areas that had traditionally had been viewed as lower risk.”
The fires were in at least eight Northern California counties of the state.
Overall, residential insured losses for all the fires totalled just over $3.1 billion and commercial losses represented nearly $137 million. Auto losses exceeded $28 million and farm/agriculture losses from the fires exceeded $4.5 million, with most of it in Sonoma County but also some losses in Napa County.
The wine country wildfires damaged or destroyed more than 14,700 homes, 728 businesses, and more than 3,600 private cars, commercial vehicles, farm equipment and watercraft.
At least 43 people died as a result of the devastating fires, including a firefighter.
The series of wildfires, which started the evening of Oct. 8, destroyed entire neighbourhoods in the city of Santa Rosa. At least 5 percent of the housing stock in Sonoma County was destroyed in the fires.
The state official said the policy change may be needed since California continues “to develop in areas where there’s significant change of fire. We continue not to have adequate local fire protection resources to fight those fires and we shift those costs onto Cal Fire and the state.
HEAVY FINES BY NAICOM HINDERS INSURANCE BROKERS PERFORMANCE
The out-going President of The Nigerian Council of Registered Insurance Brokers (NCRIB) Mr. Kayode Okunoren has said that various forms of levies an
d penalties on insurance brokers hugely affected their perf
ormances in the last two years.
Okunoren made this known during his Valedictory Press Conference at the Brokers House Alagomeji Yaba Lagos. He said that although the council was able to seek and get concession for members with the regulatory authorities, especially NAICOM and the Financial Reporting Council (FRC) through constructive dialogue, NAICOM has always seek the tiniest of excuse to impose heavy fines on Insurance Brokers in the last two years, thereby hindering their performance.
STAKEHOLDERS LAMENT LOW INSURANCE PENETRATION IN NIGERIA
Insurance penetration will not deepen until the needs and expectations of customers are met and delivered, stakeholders in the industry have said.
It was suggested that to enforce a deep penetration in Nigeria, the industry must present itself not only as someone who is coming to sell policies, but also creating an opportunity for effective collaboration between her and the customers.
Speaking in Lagos during a programme tagged: “Insurance September- Breaking the Code,” the convener, Ekerete Gam-Ikon, said the delays on the amendment of the National Insurance Commission Act 2003, is the reason customers’ issues are yet to be addressed.
According to The Guardian, he said that with the huge opportunities in the sector, insurance should not be sold out of fear, noting that the time for fear is over, as people are now looking for more opportunities.
“There are expectations that people have, and most are these things not happening. Insurance penetration will not happen until insurance customers are heard, and allowed to enjoy what their expectations are.
The industry needs more orientation to talk to the people who sell these products because most of them are not selling them well.
It is not a beggarly industry; it should be the other way round.