The Nationwide Affiliation of Insurance coverage Commissioners (NAIC) launched its complete 2021/2022 Auto Insurance coverage Database Report on February 26, 2025. This 224-page evaluation gives essential insights into the elements driving private vehicle insurance coverage prices throughout america. As insurance coverage professionals navigate more and more complicated market circumstances, this report presents useful information to tell strategic underwriting, pricing, and threat administration choices.
Nationwide Developments and Key Metrics
The report reveals a number of important business developments:
- The nationwide mixed common premium per insured automobile reached $1,258 in 2022, representing a 5.75% improve from 2021
- Whole legal responsibility incurred losses reached $103.8 billion in 2021, a considerable 19.4% improve from 2020
- The typical incurred loss per collision declare jumped 18.6%, from $5,185 in 2020 to over $6,150 in 2021
- Legal responsibility premiums grew 8.61% from 2018 to 2022, outpacing the 5.9% development in insured automobiles throughout the identical interval
- The nationwide common expense per insured automobile reached $1,126 in 2022, a 6.49% improve from 2018
Whereas the report doesn’t give the entire vehicle insurance coverage premium straight, a calculation for the figures proven for registered automobiles and common premiums for 2021 and 2022 counsel complete premiums of roughly $300 million annually.
Market Dynamics and State Variations
The report emphasizes that direct state-to-state comparisons require cautious consideration as a consequence of important regional variations in:
- Policyholder classifications and automobile traits
- State auto and tort legal guidelines
- Charge submitting laws
- Site visitors circumstances and accident charges
- Automobile theft statistics
- Restore prices and medical bills
- Required protection varieties, limits, and advantages
Complete Protection Evaluation
The NAIC report gives detailed earned and incurred information for calendar years 2019-2021, damaged down by voluntary and residual market segments. This granular strategy presents insurance coverage professionals deeper insights into completely different threat profiles throughout numerous protection varieties:
- Bodily harm legal responsibility
- Property harm legal responsibility
- Mixed single limits legal responsibility
- Private harm safety
- Medical funds
- Uninsured/underinsured motorist protection
- Collision and complete coverages
State-Particular Intelligence
The report contains specialised evaluation for a number of states, together with Massachusetts, with technical notes explaining information sources, calculation methodologies, and limitations. This state-specific intelligence gives essential context for insurance coverage professionals working in these markets, serving to them navigate distinctive regulatory environments and regional market dynamics.
Strategic Implications
For insurance coverage professionals in Massachusetts and past, this report presents important information to:
- Benchmark pricing methods towards nationwide and regional averages
- Determine rising threat elements and value drivers
- Perceive regulatory traits and compliance necessities
- Develop focused underwriting tips for particular markets
- Forecast future market circumstances and put together strategic responses
As acknowledged earlier, the free 2021/2022 Auto Insurance coverage Database Report represents a helpful useful resource for insurance coverage professionals in search of to reinforce their market understanding and develop data-driven methods in right now’s complicated automotive insurance coverage panorama.
Free Obtain of Report
To obtain the report without spending a dime, go to the NAIC web site at NAIC Releases 2021–2022 Auto Insurance Database Report. Then, click on on the “2021 – 2022 Auto Insurance Database Report” hyperlink within the press launch.
