Claims Experience – What does this mean for every policyholder and the insurance industry as a whole?
Policy anniversaries and reviews are part of our regular routine as short-term insurance personnel. One of the biggest issues always discussed is loss ratios per individual policy based on its performance. Sometimes clients feel unfairly treated by insurers when premiums are loaded on the policy or on sections of the policy to take into account claims from the previous period. It is also for this reason why insurers ask for previous claims history when receiving a policy as they intend to do more accurate underwriting and accurately price.