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Motor insurance sector sees rise in profits, general insurance industry grows as well

Published on Mar 18, 2014 2:33 PM

The average premium collected for motor insurance dipped slightly last year, even as the sector saw a 17.3 per cent increase in underwriting profit to $59.1 million.

At its annual results briefing on Tuesday, the General Insurance Association (GIA) said the average motor premium collected last year was $1,250, down from $1,280 in 2012. The association attributed the slight dip to more insurers entering the marketplace, and said this trend is likely to continue.

As a whole, the motor insurance sector collected $1.22 billion in gross premiums, a 2 per cent drop from 2012.

Said GIA president AK Cher: "The GIA will continue to work with our various stakeholders to ensure that motor claims are effectively managed and premiums continue to stabilise."

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