After Matmut in the spring, it is MAIF’s turn to announce the freeze on auto insurance premiums next year. “In a context of health and economic crisis where car insurance weighs heavily on household budgets, we have decided to make an extra effort by not increasing our car premiums in 2021”, announces to Parisien-Aujourd ‘ hui in France Pascal Demurger, Managing Director of MAIF. And this, he explains, “despite the increase in costs in the automotive sector this year”. “Prices in the sector climbed 6% in 2020 between the surge in the cost of spare parts and the increase in the cost of labor linked among other things to the health protocol,” he explains.
After an increase in car prices of 1.25% in 2020, the mutual fund had initially planned to increase its car contributions “by about 2% in 2021, which represents more than thirty million euros in turnover. ‘additional business that we are giving up,’ says Pascal Demurger, sweeping away any price catching in the years to come. “A gesture of solidarity” according to the mutualist group, which anticipates a very low net result in 2020 and 2021.
Savings during containment
A question of image also when the sector has been forced to participate to the tune of 3.2 billion euros in support of the economy and many restaurateurs have their throats rejected by insurers to compensate their operating losses, in the absence of any damage, following confinement. Finally, it is difficult for insurers to explain an increase in their auto prices when claims have collapsed. “The confinement generated savings for the sector of around 2 billion euros,” said Olivier Moustacakis, co-founder of the broker Assurland. Despite the end of confinement, the number of accidents still seems to be on the decline given the number of injuries or deaths (respectively – 5.7% and – 11.3% in July 2020 against the same period last year ) “, Justifies the expert who expects” a stability of the cost of auto insurance in 2021 “.
The Addactis cabinet assesses the savings made by insurers due to containment and the drastic drop in accidents at 1.5 billion euros. According to the firm Facts & Figures, close to insurers, we should on the contrary expect an overall increase “from 1.5% to 2%” in car premiums even if “some players will probably decide to freeze their inherent rates. to the savings in claims costs achieved during confinement ”.
When questioned, many insurers say they are “thinking” about possible price freezes for the automobile, knowing that inflation should be close to 0%. But there was no question for Generali, for example, “of having the tempo dictated by the mutualists”. The group intends to give itself time to “take into account all the impacts of the crisis” before setting its prices.
Beware of catching up on the home
The multi-risk home contributions (MRH) – which concern more policyholders – should climb next year, despite also the sharp drop in claims in recent months under the effect of teleworking and partial unemployment.
“The insured being more often at home, there is a decrease in burglaries, water damage and fires, a saving of around 300 million euros for insurers during confinement”, estimates Olivier Moustacakis. An estimate close to that of the specialist firm Addactis which expects 350 million euros in savings. However, no question for MAIF including freezing its HRM premiums, which “should grow moderately”, according to Pascal Demurger, probably between 1.5% and 2%.
But here too, disparities exist according to the actors. In its note of September 16, the firm Facts & Figures warns that “it is possible that certain groups (such as Allianz, Axa, Covéa, Generali, Groupama, etc.) decide to pool the cost of operating losses paid due to the confinement to certain merchant and business customers ”. And to conclude: “In this case, we could have announcements of the order of + 2.5% to + 3% from certain players concerning Home insurance”. You have been warned …