Motor vehicle liability is to bring back profits
“… And you say no more expenses,” for there are indeed “real and imputed costs that erode corporate earnings, even when intended purely for tax purposes the cost of insurance premiums for a given sales profit or loss.
If have more expensive since the beginning of 2010 some of the auto insurer rates for the insurance coverage is for the consumer difficult to see if it is claimed, “businesses can be personalized with the automotive sector do not.” But the absolute figures are probably a different result: the regulation of liability and hull damage resulted from the turn of the millennium a shortfall in premiums of around three billion euros. Losses could be offset against income from other sectors while, but lost in fierce competition, the average tariffs for motor insurance in new contracts from 2005 to 2009 by about 23 percent.
High number of vehicle change
Why car insurance is considered to be loss-makers is, despite the high completion rates in the compulsory insurance for nine million vehicles a year change the fact that parallel attempts to lure customers to other private insurance.
Since then rate increases were necessary, not to realize it, because consumers are very willing to change. This led to long-term rewards, even in 1996. Their income had quite enough to drop in claim frequencies, but it was the price increases that had inflationary.
The current price level caused the provider to demand also workshop binding reductions in parts prices or hourly rates. This was not enough, insurers were forced to attack reserves. This was obvious that price increases were due, to offset the negative result of the damage requirement. If future claims handling and management are optimized when workshop control tariffs or agreements with producers and distributors access and run if standards relating to electronic processes, the damage needs will be reduced.
Nor shall any discounts
But it still competes in the industry with almost any discounts, although the media in the late-decline rates has already been announced. In the operating business of the competing offers are namely Beliebigkeitsrabatte and special classifications, both privately and commercially still displayed.
Still lack the industry knowledge that it must come in the auto insurance in revenue. In addition, it must succeed in selling to customers at the dealership to the quality of the claims by value. Then it is also possible to enforce payment, where car rental and insurance companies can provide returns. For 2010, the market can absorb but little more, there’s also the risk annually recurring natural hazards, such as the hail. Quality insurance companies have to highlight the low-cost operators, the argument that the satisfaction of the clients and the partnership relationship with the motor trade in the event of damage. If then suggest any other insurance companies to get certified in their service quality in the automotive claims still may revive the industry in a special way.