PI and PL claims payout rise 23.6%
Insurers paid $2.08 billion in claims for professional indemnity and public and product liability (PL) classes of businesses last year, up 23.6% from 2016, the Australian Prudential Regulation Authority says. Non-facility PI claims went up 31.3% to $1.03 billion and non-facility PL claims increased 14.9% to $1 billion, according to the regulator’s National Claims and Policy Database. Claims payment for facility business shot up 88.5% to $43 million. As of December 31, insurers reported $3.78 billion in case estimates for non-facility business for further payments on open claims, up 8.7% from 2016. Insurers wrote $3.34 billion gross premium for PI and PL classes of non-facility business, up 0.4%. Gross written premium for non-facility PI relating to 763,035 risks rose 6.1% to $1.52 billion. The figure for non-facility PL relating to 2.9 million risks dropped 5% to $1.82 billion.