MOTOR VEHICLE INSURANCE 2016 Ljubljana, April 2016 Published by: SLOVENIAN INSURANCE ASSOCIATION Železna cesta 14, PO Box 2512 SI-1000 LJUBLJANA Telephone: (+386) 1 473 56 99 Fax: (+386) 1 473 56 92 Website: www.zav-zdruzenje.si E-mail: info@zav-zdruzenje.si Responsible person: Maja Krumberger, MSc, Director MOTOR VEHICLE INSURANCE 2016 SIA, Ljubljana 2016 Text, tables and graphs prepared by: • Mateja Lamovšek • Tanja Trampuž Translation: Amidas, d. o. o. Production: Pegaz International, d. o. o., Ljubljana Design: Luka Mancini, MSc Photographs: 123RF All rights reserved. The information contained herein may be used in full or in part only with an appropriate indication of the source. ISSN 2386-0243 CONTENTS Methodological explanations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Statistical indicators, units of measure, abbreviations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 GENERAL INFORMATION ON MOTOR VEHICLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Motor vehicles in Slovenia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Comparison of Slovenia with selected countries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 MOTOR THIRD-PARTY LIABILITY INSURANCE (MTPLI) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 International claims . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Guarantee Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 Compensation Body . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 MOTOR VEHICLE CASCO INSURANCE (MCI) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 CAR OWNER AND DRIVER ACCIDENT INSURANCE (MTPLI+) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 DATA SOURCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 The publication Motor Vehicle Insurance 2016 is based on annual data that the SIA has obtained from its members. According to estimates, the data contained herein cover 99.8% of the Slovenian motor insurance market. If other data sources are used, this is stated separately in the text, tables and graphs. Data collection was completed on 12 April 2016. Where statistical data for 2015 were not yet available at the time this publication went to press, the time series ends at 2014. In principle the time series refers to a ten-year period. Unless otherwise stated, all data in this publication refer to Slovenia, with the exception of data from SIA members referring to their overall operations. The unit of currency used in this publication is the euro. The exchange rate used to convert the domestic currency to euros for the period prior to the introduction of the euro is EUR 1 = SIT 239.64. This conversion is in line with the system of conversion used at the SORS. Some tables show amounts in EUR 000s or EUR millions, where this is specifically indicated. Growth rates are calculated as the ratio of data for the selected year to data for the previous year, without taking into account inflation. During the period surveyed there are some clear discrepancies in the data that arose as a result of changes to legislation and consequent changes to the methodology of counting and disclosing data. In order to ensure comparability of data in the publication, vans are counted as private cars throughout the period. Major milestones and prominent values in the time sequence of data on registered road vehicles in Slovenia (source: SORS): – changed categorisation of vehicles in March 2006, – transition to a new register of road motor vehicles in March 2006, – there was no extended registration in 2007 for inactive tractors, tractor trailers and caravans, – decline in temporary de-registration of motorcycles after 2007 (partly because insurance companies changed insurance conditions in that year). Statistical data associated with motor vehicle insurance that are provided by insurance companies and are shown for the categories of MTPLI and MCI relate to all self-powered motor vehicles in terms of the following categorisation used by the insurance companies: PS01 – passenger cars PS02 – lorries PS03 – buses PS04 – towing vehicles PS05 – special motor vehicles PS06 – motorcycles PS07 – trailers PS08 – foreign-registered vehicles PS09 – vehicles undergoing repairs and refits in workshops and vehicles undergoing cleaning and greasing in workshops PS10 – service vehicles PS11 – rolling stock PS12 – vans PS13 – special forms of insurance For our statistical overview, we placed road – towing vehicle – road goods vehicle intended – motorcycle – two-wheeled motor vehicle with or vehicles in Slovenia in the following eleven solely or primarily for towing other road vehicles without sidecar, or three-wheeled vehicle, with categories in line with the SORS categorisation without their own motor power (mainly semi-an internal combustion engine whose cylinder (source: SORS): trailers); capacity exceeds 50 cc or for which the design – passenger car – a motor vehicle with at least – service vehicle – adapted goods vehicle with speed exceeds 45 km/h; this includes four-four wheels intended for the carriage of persons equipment installed for performing specific tasks wheelers whose unladen weight does not which has no more than eight seats in addition and not intended for the carriage of goods, and exceed 400 kg (or 550 kg in the case of vehicles to the driver’s seat; which can achieve speeds of more than 30 designed to transport goods); – special purpose passenger car – vehicle km/h on a flat road (firefighting vehicle, rescue – moped – two, three or four-wheeled vehicle designed for special purposes and not for the and emergency vehicle, mobile crane, self-whose an internal combustion engine capacity carriage of persons (firefighting vehicle, rescue powered road rollers, bulldozers with metal does not exceed 50 cc and whose maximum and emergency vehicle, hearse, driving school wheels or tracks, film, radio and television design speed on a flat road does not exceed vehicle, race vehicle and other passenger production vehicle, mobile library, towing vehicle 45 km/h; vehicles not mentioned elsewhere); for vehicles needing repair and other road – agricultural tractor – motor vehicle intended – lorry – non-articulated goods vehicle; vehicles not mentioned elsewhere); solely or primarily for agricultural purposes – special purpose lorry – goods and other vehicle – bus – motor vehicle for the carriage of persons which may be used on roads open to public intended for special operations requiring special with more than eight seats in addition to the traffic or not; adaptation of the superstructure and/or special driver’s seat; – trailers – road vehicles designed to be towed by equipment (tanks, livestock vehicle, concrete other motorised road vehicles (goods trailers mixer, temperature-controlled goods vehicle, (trailers, semi-trailers), caravans and tractor forest vehicle, dumper, self-loader, hazardous trailers). goods vehicle, etc.); GENERAL INFORMATION ON MOTOR VEHICLES Slovenia has experienced great progress in the last 25 years and this is also evident in the field of transpor t. An increasing number of registered vehicles, an increase in the size of the road network and changes in settlement patterns have also contributed to a significant increase in road traffic. The first section of motorway in Slovenia was built in 1972 between Vrhnika and Postojna. At that time it was used by on average around 8,000 vehicles a day. Today this number is more than 50,000. Motorways are also used by up to 8,000 goods vehicles a day. The greatest proportion, 64.7%, of traffic is on motorways, express roads and main roads, which represent 21.8% of the total length of the national road network. The standard of living of the population is also better than it was two decades ago. At that time it was necessary to work twice as long to buy a car as it was in 2015, when for the third year in a row it was necessary to work for a little under 2,000 hours. As a result of the greater accessibility of passenger cars, the share in the basket of essential goods and services that households spend on transpor t has in recent years amounted to around 20% of all household expenditure. Despite the weakened purchasing power of the population in recent years, the total number of registered motor vehicles has been increasing constantly, with passenger cars accounting for 78% of them. With increased investments in roads infrastructure, decreasingly competitive public transpor t and a changed pattern of settlement in Slovenia based on accessibility by private car, a growing share of the population is opting to use a private car to meet its transport needs. As a result, the share of public transport has h 3,500 3,000 2,500 2,000 1,500 1,000 500 Source: SORS 1 estimation 0 fallen considerably, particularly since Slovenian independence, with bus transport suffering the biggest decline. The volume of public transport has stabilised somewhat in recent years, although at a much lower level. From January to December 2015 regular public passenger services carried 27.7 million passengers, which is two-thirds fewer than a decade ago, while urban regular passenger services carried 46 million passengers, or just over half as many as a decade ago. Passenger numbers in rail transpor t are slowly increasing again following a significant drop in the 1990s. In the last decade an average of 1.4 million road vehicles were registered per year, of which 97.1% were motor vehicles. The remainder were trailers, whose number is slowly increasing, but on a significantly smaller scale. Passenger cars represent the largest group of vehicles: almost 1.1 million. Their number has almost doubled since Slovenia became independent, a consequence of the change in lifestyle – more cars per household, an increase in average journey length, lower accessibility and flexibility of public transpor t. Positive growth in passenger car numbers (1.8%) was also recorded in 2015. The second largest group of registered motor vehicles, after passenger cars, are tractors, with a 7.7% share – up 2.6% last year compared to a year earlier. The biggest growth (14.9%) was recorded by mopeds. The popularity of this type of motorcycle has grown in the last decade, although significantly more slowly in the years since the start of the economic crisis. The number of registered motorcycles has increased by 266% since 2005, although last year this was the only category of vehicle to show a decline (-3%). Other 2013 2014 NUMBER OF WORKING HOURS TO BE COMPLETED BY AN EMPLOYED PERSON TO EARN ENOUGH TO BUY A PASSENGER CAR (Renault Clio) 2006 2007 2008 2009 2010 2011 2012 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Passenger cars 2 Number includes also special purpose lorries, towing and ser vice vehicles. Lorries 3 Outstanding value due to no cancellation of motorcycles’ registration during the winter. Motorcycles Agricultural tractors Other motor vehicles Trailers Source: MZI, SORS recorded in the case of trailers in 2007 (-9%) and towing vehicles in 2009 (-8.1%). In the case of motorcycles the year 2007 is notable for the non-deregistration of motorcycles over the winter. The same year shows a fall in the number of tractors as a result of the elimination of inactive vehicles. The number of all motor vehicles and also the number of passenger cars, lorries and motorcycles showed a relatively stable dynamic of growth over the period surveyed. NUMBER OF ROAD VEHICLES IN USE BY NATURAL AND LEGAL PERSONS IN 2004 AND 2014 (as at 31 December) persons owned 94.8% of all passenger cars. In terms of use, this percentage is even higher, since cars owned by legal persons can also have natural persons as their users (e.g. in the case of financial leasing). The situation is similar with other types of vehicles that are typically in private use: natural persons owned 97% of motorcycles, 95.3% of mopeds and 96.2% of tractors in 2014. This ratio has remained at a similar level for a number of years. In the case of vehicles predominantly designed for commercial use, the situation is different. In the past a significant percentage of such vehicles were MOTOR Passenger Special purpose Lorries Special purpose Towing Service Buses Motorcycles Mopeds Agricultural TRAILERS ROAD VEHICLES VEHICLES cars passenger cars lorries vehicles vehicles tractors (TOTAL) 2004 Natural persons 1,021,567 881,036 1,075 26,161 3,083 2,892 399 443 10,936 26,745 68,797 25,482 1,047,049 Legal persons 96,216 52,905 3,150 25,080 3,277 2,685 2,877 1,826 638 1,881 1,897 8,493 104,709 TOTAL 1,117,783 933,941 4,225 51,241 6,360 5,577 3,276 2,269 11,574 28,626 70,694 33,975 1,151,758 2014 Natural persons 1,233,646 1,012,395 3,896 21,971 1,544 468 555 135 52,975 39,228 100,479 19,653 1,253,299 Legal persons 139,230 55,967 4,704 47,850 5,738 9,694 5,321 2,424 1,656 1,937 3,939 19,787 159,017 TOTAL 1,372,876 1,068,362 8,600 69,821 7,282 10,162 5,876 2,559 54,631 41,165 104,418 39,440 1,412,316 Source: SORS GROWTH IN NUMBER OF ROAD VEHICLES IN USE BY NATURAL AND LEGAL PERSONS BETWEEN 2004 AND 2014 (as at 31 December) (in %) % 384.41 MOTOR Passenger Special purpose Lorries Special purpose Towing Ser vice vehicles Buses Motorcycles Mopeds Agricultural tractors TRAILERS ROAD VEHICLES VEHICLES cars passenger cars lorries vehicles (TOTAL) Natural persons Legal persons Source: SORS owned by natural persons, but in 2014 legal persons registered 95.4% of towing vehicles, 94.7% of buses, 90.6% of service vehicles, 78.8% of special lorries and 68.5% of lorries. Legal persons also own more than half of special passenger cars and trailers. Interestingly, 10 years ago up to three-quarters of trailers were owned by natural persons, despite their typically commercial use. Of all road vehicles owned by natural persons, 98.4% were motor vehicles and just 1.6% were trailers, while vehicles owned by legal persons were 87.6% motor vehicles and 12.4% trailers. Passenger cars were the largest category of motor vehicles owned by both groups, accounting for 86.2% in the case of natural persons and for less than half that figure (40.2%) in the case of legal persons. The growth in the number of registered vehicles in Slovenia has slowed significantly since the start of the economic crisis. This is a consequence of the decline in new car sales. Another factor that should not be overlooked is the smaller number of older cars being removed from circulation. A consequence of this factor is the ageing of Slovenia's vehicle fleet. Both European and Slovenian policy aim to improve the age structure of the vehicle fleet in order to reduce environmental pollution, taking into account the average age of vehicles, their average lifetime and their achievement of emissions standards. Judging from recent trends, however, this aim is only being achieved slowly. With the number of cars almost doubling in the last 20 years, their average age has increased from year to year. If in 1998 it stood at 6.9 years, by 2014 it had already reached 9.4 years. Last year the number of cars registered for the first time was 81,196, which is 13.6% more than a year earlier but a quarter less than in 2008, when this figure was highest. Three quarters (75%) of first registrations were new cars (compared to 89% 15 years earlier), while a quarter were old cars previously registered in another country. At the end of 2014, 34% of registered cars were more than 12 years old; the percentage of such cars has doubled in the last 20 years. By contrast, the percentage of cars under 3 years old has fallen by half and amounted to just 10.5% in 2014. The picture is similar for all types of road vehicles with the exception of towing vehicles. More than a third of road vehicles were more than 12 years old while only one tenth were less than 3 years old. The oldest vehicles were tractors (79.8% more than 12 years old), while half of passenger cars, motorcycles, mopeds, trailers and special lorries were over 9 years old. As a result of the increase in the number of vehicles and their increasing age, the number of ELVs is also increasing. European regulations require the establishing of an effective system for the collection and management of ELVs. A total of 6,116 ELVs were decommissioned in 2013, which is considerably less than expectations, given their number (estimated at 30,000 a year). The target percentage for reuse and recovery of ELVs for 2015 was 95%. NUMBER OF ROAD VEHICLES BY AGE IN 2014 (as at 31 December) PROPORTION OF PASSENGER CARS BY AGE IN 1994, 2004 AND 2014 (as at 31 December) (in %) % 35 33.99 1994 2004 2014 Source: SORS With the remarkable increase in road traffic, road safety has become extremely important. Despite the actions taken, however, it remains unsatisfactory. Last year there were 120 fatalities on Slovenia's roads, or 58 per million inhabitants, which is 11.5% more than a year earlier. The number of road deaths has in fact fallen by three quarters over the last 20 years – in 1995 there were 208 fatalities per million inhabitants. Slovenia's target is no deaths or serious injuries from road accidents. Achievement of this target requires the contribution of road network designers and road users alike, through their actions and behaviour. Here it is also necessary to take into account the upgrading and ageing of Slovenia's roads and, at the same time, the increase in the volume of necessary repairs and maintenance work, which the country has difficulty providing at a time of recession. Notwithstanding these considerations, the number of accidents has continued to fall over the last decade, with the exception of last year, when the number of all types of accidents involving death or physical injury increased. The safest roads are motorways, accounting for one tenth of all accidents, although the number of accidents on motorways is falling slowest. Two thirds of all accidents occur in urban areas. The most frequent causes are vehicle manoeuvres (24.1%), excessive speed (17.5%) and wrong-way driving (16.8%), in the regions: Osrednjeslovenska, Podravska and Savinjska. ROAD TRAFFIC ACCIDENTS AND PEOPLE IN ACCIDENTS1 The number of passenger cars has almost doubled since the beginning of the 1990s. While growth slowed significantly with the onset of the economic crisis, a close connection between car ownership and the trends of modern life is still indicated. A transport policy which fails to promote the use of sustainable modes of transport is another reason why Slovenia is among the countries with the highest increase in the level of motorisation in the last two decades. Following a few years of stagnation during the recession, the level showed a slight increase last year to 527 passenger cars per 1,000 inhabitants or 1.9 inhabitants per passenger car. The average Slovenian household, which last year consisted of 2.5 members, had 1.3 cars, compared to just 0.9 in 1991. Despite steady – though slow – growth in the number of vehicles, motor insurance premiums written have been declining since 2010. In a period of economic uncertainty, when the purchasing power of the population has weakened, strong competition in the insurance market has seen both a fall in the average premium for an individual type of insurance and a fall in the number of motor insurance policies concluded. Motor insurance premiums written last year amounted to EUR 437 million, the level achieved between 2004 and 2005, but were still three times greater than 20 years ago. Their share in Slovenia's BREAKDOWN OF ROAD TRAFFIC ACCIDENTS BY LOCATION 1 estimation Source: MNZ, SORS Source: MNZ BASIC INFORMATION ON MOTOR INSURANCE 1 Number of passenger cars per 1,000 inhabitants. 2 Based on the methodological framework of European System of Accounts (ESA 2010). Source: MZI, SIA, SORS GDP is also falling. Last year it was just 1.1%, which is the lowest figure in the last two decades. Since premiums from MTPLI are falling faster than MCI premiums, the latter overtook the former for the first time in 2014. All this shows is that the insurance segment in question, which is one of the most important, since it accounts for one third of non-life insurance and at the same time just under a quar ter of all insurance, is, alongside life insurance, the most sensitive to the state of the national economy. The most developed method of insurance sales in Slovenia is via agents, something that also applies to motor insurance. For the last decade, despite the development of alternative methods of selling, half the insurance of this type has been sold through the internal agent network, while the development of sales BREAKDOWN OF MOTOR INSURANCE PREMIUMS BY DISTRIBUTION CHANNEL (in %) Source: SIA PROPORTION OF MOTOR INSURANCE PREMIUMS IN A SPECIFIC DISTRIBUTION CHANNEL (in %) via technical services has seen a growth in the share of external agents, who last year generated 38.7% of motor insurance premiums. As a result, fewer premiums are written by brokers, whose share has fallen from 13.9% in 2005 to just 3.5% in 2015. The share of motor insurance in the total policies sold by insurance brokers has more than halved. A fur ther category consists of over-the-counter sales, which accounted for 6% of motor insurance sold last year. The share of other selling methods is negligible. Even so, car insurance is impor tant in sales by other unrestricted methods, since last year it accounted for as much as a quarter of premiums written in this way, while in the past car insurance has accounted for a significant proportion of telephone and internet sales. Employed Counter sales 13.13 13.89 14.02 11.90 7.57 7.26 6.80 6.49 6.48 6.73 Telephone, internet 0.08 61.99 71.53 66.31 55.18 28.35 28.40 17.55 9.24 7.24 Agents Internal 30.63 30.91 31.66 32.77 38.21 38.44 33.49 32.39 32.57 32.66 External 43.74 38.16 36.85 34.52 37.90 36.86 35.56 33.45 29.04 28.40 Brokers 39.26 37.75 33.38 32.01 11.27 12.64 11.46 11.07 19.73 16.05 Bankassurance 2.15 3.31 3.75 5.57 6.74 4.97 4.12 3.19 3.05 2.54 Other 10.18 9.36 8.06 5.50 6.41 5.84 28.90 28.17 23.20 24.04 TOTAL 29.41 28.00 27.54 27.48 27.28 26.60 26.20 24.53 23.70 23.36 Source: SIA 1. Motorisation rate In 2013 there were 250 million passenger cars registered in the EU, or 494 per 1,000 inhabitants. The figure for Europe as a whole was almost 334 million. This makes Europe the largest car market in the world. The level of motorisation is also a reflection of the economic development of a country and is highest in the richest countries and lowest in the countries that are among the least developed in terms of economic power. Owing to the specific characteristics of national transport policies, it is at the same time much lower than expected in some of the most highly developed countries, for example the Netherlands. Over the last 20 years the level of motorisation has increased throughout Europe, with the biggest increase in the countries that joined the EU between 2004 and 2007. Among these countries is Slovenia, which has exceeded the European average for a number of years now, although the number of passenger cars per inhabitant has stagnated during the recent recession. Growth is also slowing down in other countries, particularly the more developed EU member states, where the level of motorisation is relatively high but where more sustainable forms of transport are simultaneously being developed. At the same time, the average age of cars is increasing. In 2013 the average age of cars in the EU was 9.5 years (compared to 8.4 years in 2006). The Baltic countries have the oldest vehicle fleet, while Italy, Germany and the United Kingdom have the youngest. Notwithstanding these considerations, road safety in the EU is improving, with both the number of road accidents and the number of fatalities resulting from such accidents decreasing (2004: 47,300; 2014: 25,900). Half of these fatalities were drivers, 39.1% were pedestrians and 10.1% were passengers. The biggest reduction over the last 20 years has been in the number of motorcyclists killed. The highest concentration of road accidents in the EU is on Fridays between 3.00 and 7.00 p.m. in the period July–October, in rural areas in dry conditions. MOTORISATION RATE GROWTH BY SELECTED COUNTRIES BETWEEN 2003 AND 2013 (in %) % MOTORISATION RATE BY SELECTED COUNTRIES 35.06 Italy Austria Germany Slovenia Belgium France Netherlands Greece IE Croatia Hungar y Source: ACEA, Eurostat, IE 2. Motor insurance premiums With the increase in the number of registered vehicles, an increase in motor insurance premiums written can also be expected. According to figures from the European insurance and reinsurance federation IE, premiums from motor insurance increased by 7.1% in the period 2004–2014. This is above all a consequence of the 20% increase in the volume of MCI, since the volume of MTPLI has remained relatively stable, given the reduction in the number of road accidents over the same period, the increasing competition and the economic crisis affecting some countries. The countries with the highest level of motorisation have the highest premiums from motor insurance – France, Italy, Germany, Spain and the United Kingdom together generate as much as 67% of the total European market. Movements in premiums vary from country to country. In some countries the decline during the economic crisis has been particularly sharp (above all in Greece, Hungary, Slovenia and Croatia), while periodic fluctuations in growth are noted in all countries. The exception is Belgium, which is the only one of the countries under observation to record a positive trend throughout the period surveyed, and also the country that has seen the largest increase in premiums written. Last year it was Germany that saw the biggest growth in premiums (4.5%), while the biggest fall was recorded in Greece (-20.3%). MOTOR INSURANCE PREMIUMS GROWTH BETWEEN 2004 AND 2014 (in %) % 23.51 MOTOR INSURANCE PREMIUMS1 (in EUR m) IE Germany France Italy Netherlands Belgium Austria Greece Hungary Slovenia Croatia Source: IE 3. Motor insurance density In countries where a decline in insurance premiums was recorded during the period surveyed, there was a similar fall in per capita motor insurance premiums or insurance density. Due to the effects of competition, per capita premiums in the EU in 2014 were just EUR 5 higher than a decade earlier; likewise in Slovenia, which with a per capita premium of EUR 218 exceeded Greece, Croatia and Hungary, of the countries observed. Hungary collected motor insurance premiums of just EUR 49 per capita, which is 4.4 times less than in Slovenia and 7.3 times less than in Austria, where people spent the most on motor insurance, on average EUR 360. By way of comparison – the average insurance claim paid in Europe was EUR 166. The highest growth in insurance density during the period surveyed was in Belgium (14.6%), followed by Germany (10.3%) and France (7.8%), which indicates that the rapid growth in insurance density in the countries that became newly independent at the end of the last century has stalled. In 2014 insurance density increased most in Germany (4.2%) and decreased most in Greece (-19.1%). MOTOR INSURANCE DENSITY GROWTH BETWEEN 2004 AND 2014 (in %) % MOTOR INSURANCE PREMIUMS PER CAPITA1 (insurance density) (in EUR) 1 Without data of branches of foreign companies. 2 Total premium from statistical forms ST-3 and ST-10. Source: Eurostat, IE, SORS Austria Belgium France Germany Italy Netherlands IE Slovenia Greece Croatia Hungary Source: Eurostat, IE, SORS 4. Motor insurance premiums as a proportion of non-life insurance PROPORTION OF MOTOR INSURANCE PREMIUMS IN NON-LIFE INSURANCE PREMIUMS1 (in %) According to IE figures, motor insurance accounts for the largest share (28.8%) in the group of non-life insurance in Europe. This proportion has fallen by more than 5 percentage points over the last 10 years, as a consequence of the high growth of other types of non-life insurance in comparison to motor insurance. Differences between countries are due to differences in regulations, transport policy and also the economic situation, all of which has an effect on the sale of individual types of insurance. Greece tops the list in the period surveyed with a share of almost two thirds, followed by Italy and Croatia. Slovenia, with a share of 32.6% in 2014, is above the European average, while after remaining at a constant level a decade ago its share is decreasing in a uniform manner. In Germany, despite the relatively high level of motorisation, motor insurance only accounts for a quarter of non-life insurance, since the market in health insurance and other non-life insurance is well developed. The propor tion is lowest in the Netherlands, where health insurance is strongly developed as a result of the privatisation of healthcare system. 1 Without data of branches of foreign companies. 2 Total premium from statistical forms ST-3 and ST-10. 3 Decline in 2006 is a result of high growth of health insurance as a consequence of privatisation of health system at that time. Source: IE GROWTH IN PROPORTION OF MOTOR INSURANCE PREMIUMS IN NON-LIFE INSURANCE PREMIUMS BETWEEN 2004 AND 2014 (in %) % -2.56 -10.52 -9.57 -32.38 -19.34 -7.98 -15.92 -15.17 -15.48 -10.48 -64.01 -10 -20 -30 -40 -50 -60 Greece Italy Croatia Hungar y Slovenia Belgium Austria IE France Germany Netherlands Source: IE 5. Insurance penetration The share of motor insurance premiums in GDP is not dependent either on economic development or the level of motorisation. For this reason the classification of countries by this indicator is completely different from other classifications. Slovenia has been at the top of the list of selected countries for a number of years, which further confirms that motor insurance is an impor tant form of insurance in Slovenia both by volume and by economic power. With a rate of 1.2%, the decline in insurance penetration seen over the past few years continued in 2014. The share of motor insurance in GDP is also gradually falling in other countries, which is reflected in a decrease of the European average by 0.2 percentage points or 17.5% over the last decade. The decline is par ticularly notable in Hungary, where the rate has more than halved, to just 0.5%, and represents the lowest rate of insurance penetration in 2014. Greece was the only country among those observed where this indicator showed a predominantly positive trend during this period, but a significant drop the previous year meant that it ended up at the same level as a decade earlier and thus remained among the lowest. MOTOR INSURANCE PENETRATION GROWTH BETWEEN 2004 AND 2014 (in %) % PROPORTION OF MOTOR INSURANCE PREMIUMS IN GDP1 (insurance penetration) (in %) 1 Without data of branches of foreign companies. 2 Total premium from statistical forms ST-3 and ST-10. Source: Eurostat, IE, SORS Slovenia Italy France Croatia Austria Belgium IE Germany Netherlands Greece Hungar y Source: Eurostat, IE, SORS MOTOR THIRD-PARTY LIABILITY INSURANCE (MTPLI) INSURANCE COMPANIES PROVIDING MTPLI Source: SIA Insuring the owners of motorised road vehicles against liability for damage or injury caused to third parties is an important segment of the Slovenian insurance market which has accounted for, on average, one fifth of total non-life insurance premiums written over the last 10 years and one seventh of the total insurance portfolio. Last year, having occupied the leading position in the early 1990s, MTPLI was in fourth place with an 11% share of total premiums (including life insurance). While the number of registered road vehicles has continued to grow ever since independence, the number of MTPLI contracts concluded shows fluctuation. This is particularly evident in the period of the last recession. Insurance is concluded annually and on a short-term basis, for which reason the number of insurance contracts concluded regularly exceeds the number of registered vehicles, which last year, given more favourable economic conditions and higher consumer spending, saw the biggest increase since 2009. This resulted in a 1.8% growth in the number of insurance contracts concluded, bringing the total to 1,615,659, which is 19.7% more than a decade ago and 52.5% more than in 1995. Average year-on-year growth in the number of insurance policies was positive during the period surveyed (1.9%), while negative growth of 1.4% was recorded in claims. The downward trend in the number of claims over the last decade contributed to an improvement in the claims frequency, which at 3.4% is comparable to the value of this indicator in the early 1990s and 1.4 percentage points lower than in 2005. Figures for the number of insurance policies include short-term insurance, for which reason the presented results are lower than they would be otherwise. DATA ON MTPLI Increasing competition in the motor insurance market is reflected in a fall in the price of insurance, which affects both the average premium and the total gross MTPLI premiums written. Last year, despite the increase in the number of MTPLI contracts, this figure fell by 2.3% to the 2002 level. Average annual growth in premiums written was -3% over the last decade, while growth in claims paid was -2.2%. The difference between the absolute amount of premiums and claims is slowly reducing. Premiums were 61% higher last year and 74% higher a decade ago. As a result, the paid claims ratio is worsening. Last year saw the worst ratio in the time series (62.3%), while in 2006 it was the best it has been since Slovenia became independent (54.1%). Better than this over the last few years has been the incurred claims ratio, since the calculation of the latter also takes into account unearned premium, technical provisions and costs. Though it has improved over the course of 20 years of fluctuations, in recent years it has begun to grow again. Last year an individual paid an average of EUR 133 for MTPLI, the same as in 2001. Since reaching a peak of EUR 220 in 2005, the average MTPLI premium paid has been falling for a whole decade by on average 4.8% a year. On the other hand the growth in the average gross claim paid in the observation period has been variable, though nevertheless characterised by a downward trend of on average 0.7% a year. It reached its lowest level in the entire decade last year (EUR 2,437), when as a result of the great difference between the number of insurance policies and the number of claims it was approximately 18 times higher than the average premium. Source: SIA, SORS In terms of premiums written, the share of MTPLI is decreasing as other types of insurance develop. Last year it accounted for 15.3% of the non-life insurance category, which is 44% less than a decade earlier. The proportion of premiums regularly exceeds the proportion of claims paid for MTPLI, both in the overall portfolio and in the insurance category. The latter amounted to 14.3% last year and, following several years of decline, was 2.9% up on the previous year. NUMBER OF MTPLI CONTRACTS, CLAIMS PAID AND CLAIMS FREQUENCY 200 400 600 800 The share of costs for obtaining MTPLI in premiums also increased last year for the ninth year in a row. At 16% it reached its highest level since the beginning of statistical observation at the SIA. Following the start of the economic crisis, motor insurance was among the first forms of insurance to record a drop in premiums. At the same time, the population continued to grow, resulting in an average annual decrease in MTPLI density of 3.4% over the period surveyed. Last year the situation improved, since after 5 years of a decrease of more than 6%, it only fell by 2.4%. Its average value in the period surveyed amounts to EUR 136.9. 1,000 1,200 1,400 1,600 1,800 Number in thousands 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 3.00 3.25 3.50 3.75 4.00 4.25 4.50 4.75 5.00 % Number of contracts Number of claims paid Claims frequency Source: SIA 0 50 100 150 200 250 300 350 EUR m 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 52 54 56 58 60 62 64 66 % Premiums Claims paid Paid claims ratio Source: SIA % 8.05 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA Growth in number of contracts Growth in number of claims paid MTPLI PREMIUMS AND CLAIMS PAID GROWTH (in %) % 6 5.61 4.60 4.22 4 2.41 1.83 2 1.46 0 -2 -4 -6 -8 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA Premiums growth Claims paid growth % 7.56 2006 Average premium growth 2007 Average claim paid growth 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA MTPLI INSURANCE DENSITY AND ITS GROWTH EUR 200 % 10 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA, SORS Insurance density Insurance density growth 28 26 24 22 20 18 16 Source: SIA Propor tion of MTPLI 14 in non-life premiums Propor tion of MTPLI 12 in total premiums 10 PROPORTION OF MTPLI IN NON-LIFE AND TOTAL BENEFITS AND CLAIMS PAID (in %) 22 20 18 16 14 Source: SIA Propor tion of MTPLI 12 in non-life claims paid Propor tion of MTPLI in total 10 benefits and claims paid 8 The Green Card Bureau operating under the SIA also collects statistical data on international claims on the basis of international agreements. These show that the largest number of road accidents involving policyholders insured by SIA members involve vehicles registered in neighbouring countries (Italy, Austria, Croatia, Hungary) and also Germany. Also significant in terms of number are accidents involving vehicles from Bosnia and Herzegovina, France and some Central European countries. The number of claims cases in the Green Card System fluctuates over the entire period. In spite of this the number of claims caused in Slovenia by drivers of foreign-registered vehicles from countries in the Green Card System has fallen by 15% in last decade. Nevertheless, in 2015 the number of all types of claims increased. The biggest increase in absolute terms, by 506 (9.6%), relates to claims caused by drivers insured by SIA ACTIVE INTERNATIONAL CLAIMS IN THE GREEN CARD SYSTEM (claims caused in Slovenia by motor vehicles bearing registration plates of other green card countries) Year Number of claims Number of claims by country of registration of motor vehicle that caused an accident (top 5) 1 2 3 4 5 2006 2,397 HR - 441 I - 432 A - 357 D - 300 H - 175 2007 2,438 I - 413 HR - 386 A - 340 D - 303 H - 197 2008 2,248 I - 375 A - 336 HR - 264 D - 221 H - 176 2009 2,111 I - 389 A - 291 D - 284 HR - 230 H - 150 2010 2,174 I - 356 A - 284 HR - 254 D - 227 H - 165 2011 2,102 I - 395 A - 277 D - 249 HR - 206 H - 168 2012 2,115 I - 378 A - 253 D - 246 HR - 195 H - 193 2013 1,898 I - 342 A - 234 D - 218 HR - 190 RO - 163 2014 1,842 I - 317 HR - 240 A - 236 D - 193 H - 133 2015 1,955 I - 286 A - 279 HR - 230 D - 207 H - 150 Source: SIA members in other countries of the Green Card System. Most of the claims cases were solved in extrajudicial proceedings. These were also introduced against SIA in the role of the Green Card Bureau in 0.5% of last year’s active claims, which is 0.3 percentage points less than in 2014. Because of the development and knowledge about the Protection of Visitors scheeme the number of claims cases in this system has risen since its establisment in 2004. The biggest increase – almost threefold – was in the number of claims involving injured parties from other EEA countries and Switzerland caused by drivers of vehicles registered in Slovenia. This number also recorded the biggest relative increase of all types of claims last year, by 24.3%. PASSIVE INTERNATIONAL CLAIMS IN THE GREEN CARD SYSTEM (claims caused in other green card countries by insured of SIA member companies) Number of claims by country of accident caused by insured of Slovenian insurance companies Year Number of claims (top 5) 1 2 3 4 5 2006 4,540 I - 1,008 A - 783 HR - 774 D - 716 H - 405 2007 4,811 I - 1,215 A - 858 HR - 851 D - 732 BIH - 281 2008 7,807 I - 2,291 A - 1,258 D - 1,156 HR - 1,112 BIH - 516 2009 5,163 I - 1,078 A - 909 D - 853 HR - 815 BIH - 505 2010 5,390 A - 1,014 I - 1,004 D - 884 HR - 640 CH - 599 2011 5,572 I - 1,182 D - 1,094 A - 1,075 HR - 677 BIH - 466 2012 4,994 A - 1,066 D - 1,019 I - 972 HR - 680 BIH - 401 2013 5,249 A - 1,225 D - 1,145 I - 977 HR - 647 BIH - 346 2014 5,256 A - 1,181 D - 1,120 I - 1,035 HR - 644 BIH - 338 2015 5,762 D - 1,382 A - 1,267 I - 1,073 HR - 647 BIH - 358 Source: SIA ACTIVE INTERNATIONAL CLAIMS IN THE PROTECTION OF VISITORS SCHEME (claims caused to Slovene claimants in other green card countries by motor vehicles bearing registration plates of other EEA countries and Switzerland, and handled by claims representatives in Slovenia of insurance companies from EEA and Switzerland) Year Number of claims Number of claims by country of registration of motor vehicle that caused an accident (top 5) 1 2 3 4 5 2006 1,026 I - 382 A - 228 D - 141 H - 50 F - 48 2007 1,143 I - 392 A - 259 D - 144 H - 67 CZ - 38 2008 1,176 I - 411 A - 253 D - 173 CZ - 46 H - 35 2009 1,151 I - 385 A - 292 D - 144 H - 53 F - 41 2010 1,182 I - 404 A - 259 D - 199 H - 55 F - 44 2011 1,271 I - 387 A - 277 D - 191 F - 58 H - 54 2012 1,316 I - 348 A - 317 D - 258 H - 61 F - 46 2013 1,467 I - 358 A - 292 D - 210 HR - 1961 H - 54 2014 1,564 I - 359 A - 304 HR - 262 D - 247 F - 50 2015 1,800 I - 401 A - 350 HR - 328 D - 252 H - 61 1 Data for claims from 1 July 2013 when Croatia became EU member. Source: SIA INTERNATIONAL CLAIMS GROWTH (in %) PASSIVE INTERNATIONAL CLAIMS IN THE PROTECTION OF VISITORS SCHEME (claims caused to claimants from other EEA countries and Switzerland by motor vehicles bearing Slovene registration plates, and handled by claims representative of SIA member companies) Number of claims handled in EEA countries of residence of the claimants Year Number of claims (top 5) 1 2 3 4 5 2006 419 D - 140 A - 136 I - 66 CZ - 20 H - 15 2007 505 D - 168 A - 138 I - 87 CZ - 23 H - 22 2008 653 A - 199 D - 156 I - 119 H - 26 PL - 23 2009 633 D - 177 A - 167 I - 134 CZ - 31 H - 22 2010 563 D - 148 A - 133 I - 110 CZ - 28 PL - 28 2011 694 A - 196 D - 144 I - 121 H - 53 NL - 29 2012 960 D - 236 I - 231 A - 201 H - 63 PL - 37 2013 988 D - 228 A - 213 I - 197 CZ - 56 H - 45 2014 982 D - 219 A - 214 I - 194 HR - 102 PL - 52 2015 1,221 A - 282 D - 265 I - 201 HR - 124 H - 75 Source: SIA 40 30 20 Source: SIA 10 0 Active international claims in the -10 Green Card System Passive international claims in -20 the Green Card System -30 Active international claims in the -40 Protection of Visitors scheme Passive international claims in -50 the Protection of Visitors scheme The Guarantee Fund is intended above all to cover claims caused by unknown or uninsured vehicles originating in Slovenia. Precise figures on the number and share of uninsured vehicles in Slovenia have not been known since the Fund was established in 1995. On the basis of the number of claims involving uninsured vehicles and the expected claims frequency of MTPLI claims in Slovenia, it is estimated that the number of unregistered and therefore uninsured vehicles in 2014 was equivalent to just 0.3% of all DATA OF GUARANTEE FUND road vehicles registered that year. In view of this, and taking into account the number of road accidents in Slovenia, the number of reported claims caused by uninsured vehicles is relatively high. Their number has fallen throughout the period surveyed and was last year less than half than a decade earlier, although it did increase by 215 cases compared to the previous year. There has also been a significant fall in the number of repor ted claims caused by unidentified vehicles, which is in par t the consequence of more effective subsequent identification of drivers responsible for accidents. According to police figures, the number of hit-and-run accidents is on the increase (from 2009 to 2014 by 17.2% to 2,793). 1 Claims caused by unknown motor vehicles. 2 Claims caused by uninsured motor vehicles. Source: SIA GROWTH IN NUMBER OF GUARANTEE FUND’S REPORTED CLAIMS AND NET CLAIMS PAID (in %) 50 40 30 20 10 0 -10 Source: SIA Number of reported claims SNE -20 Number of repor ted claims SNZ -30 Net claims paid SNE Net claims paid SNZ -40 The Compensation Body was established at the SIA at the time of Slovenia's entry to the EU in order to handle compensation claims from Slovenian injured parties who had suffered damage or injury abroad, where the party causing the damage was the driver of a vehicle registered in an EEA country in cases where the foreign liability insurance company had not appointed a representative in Slovenia to handle DATA OF COMPENSATION BODY compensation claims, or the cause vehicle was not insured or the damage was caused by an unknown vehicle. Such cases are very few in number. Their number was highest last year, when 18 claims were reported, but otherwise fluctuates greatly. Individual claims can take several years to resolve, and therefore the gross claims paid amount is in no way dependent on the number of repor ted claims – last year it was almost a third lower than the previous year. 1 Claims caused by unknown motor vehicles. 2 Claims caused by uninsured motor vehicles. 3 Claims when responsible foreign insurance company does not have its Claims Representative in Slovenia. Source: SIA MOTOR VEHICLE CASCO INSURANCE (MCI) INSURANCE COMPANIES PROVIDING MCI 1 Data not included in this publication. Source: SIA Insurance of land motor vehicles is one of the most important forms of insurance. Last year, with EUR 221.3 million wor th of gross premiums written, it was third in size among all types of insurance in the Slovenian insurance market. With positive growth of its structural share of, on average, 1.9% per year over the last decade, it moved up one place for the first time since 1995 despite a slight reduction (of 2.4%) in premiums written. Premiums continued to grow right up until 2011, when they reached a peak of EUR 254 million. Gross MCI premiums written in the period of observation are on average one third higher than gross claims paid, which last year stabilised at EUR 163.3 million. The latter have increased by on average 5% annually over the last decade, which is 0.5 percentage points more than premiums. The volume of MCI increases with the increase in the level of motorisation in the country. No figure is available for the number of motor vehicles with MCI. Some insurance companies also include partial casco or individual risk insurance in their figures for the number of insurance policies taken out, so an individual vehicle may be counted multiple times. Leaving such considerations aside, this number has increased constantly every year with the exception of 2009, and last year was 56.6% higher than a decade ago. The average annual increase is 5.1% and over the period of observation exceeded growth in the number of claims under this type of insurance by 1.3 percentage points. As a result, claims frequency has been improving in the last few years. Last year it stood at 20.8%, the lowest figure in the last decade. Owing to the large number of claims, this is regularly higher DATA ON MCI than in the case of compulsory MTPLI. Although the number of claims over the entire period is roughly four times lower than the number of MCI policies, it is characterised by constant fluctuation. Instability is also a characteristic of the paid claims ratio for MCI, which is likewise usually lower than in the case of MTPLI. The average figure was 76.8%. Its positive growth trend in the period surveyed was minimal; its value last year was, at 73.8%, similar to a year earlier and to 10 years ago. The worst result in the last two decades – 88.8% – was recorded in 2009, when the claims frequency was also relatively high. The average gross insurance premium paid by an individual for MCI has fallen constantly over the last 5 years and last year reached the 2004 level. With a 14.1% fall it amounted last year to EUR 181, which is the lowest amount in the last decade. On average, it is three times smaller than the average claim paid and received by an insured injured party. Both saw a minimal positive growth trend during the period surveyed, despite the significant increase up to 2009. Following major variance in the past, MCI premiums per capita have in recent years been similar to MTPLI premiums. Their growth is also similar, although with a lag of several years. As a result of the later onset of the decline in premiums written, an upward trend in insurance density for MCI can be observed up to 2011, while 1 Data for insurance type »Land motor vehicle insurance«. Source: SIA, SORS the decline that followed this contributed to an average annual growth rate of just 4.2%. Last year the average inhabitant of Slovenia spent EUR 107.3 on this form of insurance, which is 46.9% more than a decade earlier and three times more than 20 years ago. Insurance density in the period of observation is on average EUR 107.7. With an average 11.1% share or a ninth of the total insurance portfolio, MCI has been one of the most important types of insurance since 2005. Despite last year's 4.2% fall in structural share, it shows a positive growth trend over the period of observation, which is just 0.2 percentage points less than the average growth of NUMBER OF MCI CONTRACTS, CLAIMS PAID AND CLAIMS FREQUENCY 0 200 400 600 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 its share of premiums in the non-life insurance category (1.7%). It recorded its highest value in the last decade in 2010; its average value amounted to 15.8%. The movement of both indicators is similar not only in the case of premiums but also in the case of claims paid, which track growth in premiums relatively uniformly throughout the time series shown. The share of MCI acquisition costs in premiums for this insurance has slowly been increasing over the course of the years shown, by on average 14.3% a year. Last year it increased by 2.3% to reach 16.2%. 800 1,000 1,200 1,400 Number in thousands 18 20 22 24 26 28 30 32 % Number of contracts Number of claims paid Claims frequency Source: SIA 0 50 100 150 200 250 300 EUR m 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 60 65 70 75 80 85 90 % Premiums Claims paid Paid claims ratio Source: SIA % 20 19.53 15 16.48 16.98 10 8.39 13.64 10.72 8.80 13.62 5 6.68 0 0.19 -1.89 -19.72 2.80 1.78 -5.55 -0.18 0.62 1.12 -5.48 0.83 -5 -10 -15 -20 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Growth in number of contracts Growth in number of claims paid Source: SIA MCI PREMIUMS AND CLAIMS PAID GROWTH (in %) % 30 29.13 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA Premiums growth Claims paid growth % 40 37.72 30 20 11.13 10.86 9.62 10 8.18 5.54 4.43 3.87 1.51 -5.37 -16.81 -1.64 -9.13 -11.88 -13.07 0.58 -0.92 -1.98 -14.05 -1.15 0 2006 Average premium growth 2007 Average claim paid growth 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA MCI INSURANCE DENSITY AND ITS GROWTH EUR % 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Insurance density Insurance density growth Source: SIA, SORS 18 17 16 15 14 13 12 11 Source: SIA Propor tion of MCI 10 in non-life premiums Propor tion of MCI 9 in total premiums 8 PROPORTION OF MCI IN NON-LIFE AND TOTAL BENEFITS AND CLAIMS PAID (in %) 21 20 19 18 17 16 15 14 Source: SIA Propor tion of MCI 13 in non-life claims paid Propor tion of MCI in total 12 benefits and claims paid 11 CAR OWNER AND DRIVER ACCIDENT INSURANCE (MTPLI+) INSURANCE COMPANIES PROVIDING MTPLI+ Source: SIA Car owner and driver accident insurance is frequently taken out together with MTPLI. This is one of the most widespread forms of accident insurance and was last year taken out by 71% of MTPLI policyholders. MTPLI+ premiums written are, however, on average seven times lower, and have likewise declined since 2008, under the effects of the economic crisis, despite the 3.9% average annual growth in the number of policies over the last decade. Claims paid have declined even more, showing positive growth only in 2008, and with an average annual fall of 8.3% their negative growth trend exceeded the negative growth of premiums written by 5.6 percentage points. Premiums were on average four times higher than claims paid over the entire period, and this ratio has remained at a similar level in recent years. After an initial fall, the paid claims ratio has likewise shown only minor fluctuations and has averaged 23.8%. DATA ON MTPLI+ The number of policies has grown more slowly over the time series than the number of claims, but owing to the extremely small number of the latter and their low impact on claims frequency, this indicator is improving. Last year it stood at 0.2%, the lowest figure at any time during the period of observation and almost four times lower than in 2005. The average premium with regard to the number of policies has fallen throughout the series shown and was down almost one half last year compared to 10 years earlier, while the average claim paid has remained at the same level despite annual fluctuations. The share of MTPLI+ in all insurance is considerably smaller than the share of MTPLI and MCI. With an average annual decline of 5% over the last decade, it amounted to on average 2.8% of non-life premiums and just 1.9% of the total insurance portfolio. The proportion of claims paid has also fallen throughout the period and last year reached its lowest level under both comparisons. Source: SIA, SORS 0 200 400 600 800 1,000 1,200 Number in thousands 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 0 0.1 0.2 0.3 0.4 0.5 0.6 % Number of policies Number of insureds Number of claims paid Claims frequency Source: SIA 0 5 10 15 20 25 30 35 40 45 50 EUR m 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 20 21 22 23 24 25 26 27 28 29 30 % Premiums Claims paid Paid claims ratio Source: SIA % 15.26 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Growth in number of policies Growth in number of insureds Growth in number of claims paid Source: SIA MTPLI+ PREMIUMS AND CLAIMS PAID GROWTH (in %) % 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA Premiums growth Claims paid growth % 2006 Average premium growth 2007 Average claim paid growth 2008 2009 2010 2011 2012 2013 2014 2015 Source: SIA MTPLI+ INSURANCE DENSITY AND ITS GROWTH EUR 25 % 10 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Insurance density Insurance density growth Source: SIA, SORS 4.0 3.5 3.0 2.5 2.0 1.5 Source: SIA Propor tion of MTPLI+ 1.0 in non-life premiums Propor tion of MTPLI+ 0.5 in total premiums 0 PROPORTION OF MTPLI+ IN NON-LIFE AND TOTAL BENEFITS AND CLAIMS PAID (in %) 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0 2006 DATA SOURCES 1. Družba za avtoceste Republike Slovenije, d. d. 2. European Automobile Manufacturers Association 3. European Commission 4. Eurostat 5. Insurance Europe 6. Ministry of Infrastructure 7. Ministry of the Interior 8. Slovenian Insurance Association 9. Statistical Office of the Republic of Slovenia SLOVENIAN INSURANCE ASSOCIATION Železna cesta 14, PO Box 2512 SI-1000 LJUBLJANA Telephone: (+386) 1 473 56 99 Fax: (+386) 1 473 56 92 Website: www.zav-zdruzenje.si E-mail: info@zav-zdruzenje.si