Page 26 - Insurance Times November 2021

Annexure - B Of Ministry of Road Transport and Higways)
Break up of Indian Motor Premium (Gross) (Rupees in Crores)
Source :Year Books of General Insurance Council of India Year Category of Vehicles
Two Cars Jeeps Others Total
Year Total Own Damage Third Party Wheelers and Taxis
Premium Premium Premium
2006-07 11080 7739 3341 2002 70.60 12.90 16.50 100
2007-08 13063 8419 4644
2008-09 16400 8795 7605 2017 73.86 13.30 12.84 100
2009-10 18443 10105 8338
2010-11 22030 12423 9607
2011-12 31102 15289 15813 Annexure D
2012-13 30942 18109 12833 Impact of 5 % reduction in percentage of TP premium to
2013-14 35115 19607 15508 total premium
2014-15 38761 20755 18006
2015-16 44024 22731 21293 The ratio of TP Premium to total premium taken at 25%
2016-17 51809 25160 26649 instead of 30% considered in the article will give for the year
2017-18 60723 27763 32960 2002-03 Rs 1228/- as TP Premium (4910*25%). Total
2018-19 66165 28108 38057 Premium of Rs 42655 will be 34.73 times of Rs 1228. This
2019-20 69207 26552 42655 will be about six times higher than 29 times arrived at based
on TP to Total premium ratio of 30%. Thus every 5% change
Annexure C in TP to Total Premium Ratio will have an impact of about
Composition of Vehicles in percentages (Extract of Year Book Six times.

Annexure E
Indian Motor Third party premium rates for 2002-03, 2019-20 after adjusting for the higher
inflation factor (higher by 0.5%)

Category of Vehicle Sub Category 2019-20
Premium
2002-03 2019-20 without
inflation could
have been
Private Cars Not exceeding 1000 cc 65 276 93
Exceeding 1000 cc but not exceeding 1500 cc 77 428 145
Exceeding 1500 cc 90 1049 355
Two Wheelers Not Exceeding 75 cc 95 356 121
Exceeding 75 cc but not exceeding 150 cc 113 555 188
Exceeding 150 cc but not exceeding 350 cc 124 881 298
Exceeding 350 cc 134 1716 581
Goods Carrying Vehicles Public Carriers Other Than
Three Wheelers GVW not exceeding 7500 kg 541 2022 685
GVW Exceeding 7500 kg but not exceeding 12000 kg 574 3458 1171
GVW Exceeding 12000 kg but not exceeding 20000 kg 591 4291 1453
GVW Exceeding 20000 kg but not exceeding 40000 kg 607 5526 1872
GVW Exceeding 40000 kg 657 5336 1808
Goods Carrying Vehicles Private Carriers Other Than
Three Wheelers GVW not exceeding 7500 kg 485 1083 367
GVW Exceeding 7500 kg but not exceeding 12000 kg 515 2209 748
GVW Exceeding 12000 kg but not exceeding 20000 kg 528 1396 473
GVW Exceeding 20000 kg but not exceeding 40000 kg 545 2244 760
GVW Exceeding 40000 kg 587 3188 1080
Goods carrying Motorised Three Wheelers and Motorised
Pedal Cycles Public Carriers Except e-carts 149 525 178
Goods carrying Motorised Three Wheelers and Motorised
Pedal Cycles Private Carriers Except e-carts 140 503 170

26 The Insurance Times, November 2021