October Big 4 Non-Life Insurers' Auto Insurance Loss Ratio at 85.2%... "Increase in Autumn Travelers"

Last month, the loss ratio of automobile insurance for major non-life insurance companies surged by 3.7 percentage points compared to a year ago.

According to the non-life insurance industry on the 21st, the average automobile insurance loss ratio (simple average of 4 companies) of four major non-life insurers?Samsung Fire & Marine Insurance, DB Insurance, Hyundai Marine & Fire Insurance, and KB Insurance?was 85.2% last month, up 3.7 percentage points from 81.5% in the same period last year.

Looking at the automobile insurance loss ratio by insurer last month, Samsung Fire & Marine Insurance recorded 84.2%, Hyundai Marine & Fire Insurance 85.8%, KB Insurance 87.8%, and DB Insurance 82.9%. Lotte Insurance (87.8%), Hanwha General Insurance (86.8%), and Meritz Fire & Marine Insurance (86.1%) also all exceeded a loss ratio of 85%. Generally, a loss ratio of 80% is considered the breakeven point for automobile insurance.

The cumulative loss ratio of the four major non-life insurers from January to October this year was 81.5%, up 2.9 percentage points from 78.6% last year.

An industry insider said, "The increase in loss ratio was due to a rise in autumn travelers and parts costs," adding, "With an expected increase in accidents caused by icy roads in winter, the loss ratio is likely to worsen further this year."