In the event of a road accident, direct compensation applies, which provides for the possibility of obtaining compensation directly from your company. If you are dissatisfied, you can proceed to court, in which case the check will have the function of a down payment to be withheld from the more significant amount due.
The average cost of car liability insurance drops. The Statistical Bulletin of Ives revealed this. In the fourth quarter of 2020, the average price paid for the car policy was 379 euros, down 6.1 percent on an annual basis. Fifty percent of policyholders pay less than 339 euros, while 90 percent pay less than 594 euros. Only 10 percent of policyholders pay less than 206 euros for car insurance. The drop in prices affects every month of the quarter, but acceleration was recorded in the last two months of the year (-6.2% and -6.4%).
The bulletin reveals that the number of contracts stipulated increased by 3.2 percent compared to 2019, while the new risks, i.e. new vehicles / new policyholders, decreased. In this case, the contraction is equal to -4.2%.
However, the decreasing trend of the average premium concerns all distribution channels. The prices applied by direct companies are lower than the prices of contracts signed through traditional channels or bancassurance companies, by 13.9 percent and 6.4 percent, respectively.
Down the premium differential between Naples and Aosta
There are areas of Europe where the trend of reducing the average insurance premium is more marked. We are speaking in particular of Central and Southern Europen (Crotone -9.2 percent; Catanzaro -8.4 percent; Latina -8.1 percent) and some provinces of the North (Bologna -7.3 percent; Milan -7.1 percent). The minor reductions concerned the provinces of Isernia (-2.7 percent) and Biella (-2.8 percent).
In the last year, therefore, there have been price increases in no province, and for almost all the provinces, there have been price drops on an annual basis of more than -4 percent. The premium differential between Naples and Aosta still falls, reaching € 212, down by -6.2% every year and -37.6% compared to the fourth quarter of 2014.
The black box
According to what emerges from the Ivass bulletin, 23.1% of the policies signed in the fourth quarter of 2020 show a decrease in the premium thanks to the presence of the black box. However, the penetration rate of this device equipped with a GPS tracker is slightly down: -0.2% on an annual basis. The penetration rate of the black box differs between the provinces and ranges from 67.4 percent (Caserta) to 4.6 percent (Bolzano).
In the fourth quarter of 2020, the difference in the penetration rate of the black box between Naples and Milan was 38.5 percentage points. Recorded a slight decrease compared to the fourth quarter of 2019. The penetration rate of the black box in Naples is more than triple compared to Milan.
The bulletin also states that the analysis on the trend of the TPL market and the black box in the two years 2018-2019 reveals that:
- The average frequency of claims remained stable: it stood at 6.4 percent in 2019 (it was 6.6 percent in 2014). Recorded a higher value in central Europen (7.1 percent) and minimum in the North-East (5.6 percent);
- the discount linked to the presence of the black box alone varies by the geographical area between 9 and 11 percent; the discount related to the company of the black box is higher in the southern provinces, where the level of premiums is generally also higher;
- Insurance companies that do not adopt the black box are characterized by a “loss ratio” (ratio between the cost of claims and premiums) that is approximately 15 percentage points higher in 2019 (10 percent in 2018) than companies whose portfolio is made up of least 50 percent of contracts featuring the black box.