The premium growth rate did not even come close to the annual average inflation rate of 17.6%, even though both component prices and regional fees rose as well, said Gabor Kozma, CEO of Insura. The increase was also slightly restrained by the fact that fewer new cars were put on the market last year, so the proportion of lower-priced Motor Hull contracts for used cars was higher.
The average Motor Hull price for new cars in 2023 was HUF 238,300, which is 61% higher y-o-y, while customers who purchased Motor Hull insurance when buying a used car paid an average of HUF 198,200.
It is noted that the domestic car stock is constantly aging. Its average age at the end of 2023 was almost 16 years. This is also why insurers strive to provide adequate coverage for older cars with different products. According to data from Insura.hu, 12% of Motor Hull policies concluded last year were for vehicles older than 10 years.
At the same time, there’s a positive trend that, in addition to Motor Hull contracts, over 38% of the contract holders also take out some kind of extra insurance such as glass damage deductible, reimbursement without obsolescence and faulty refueling.
*EUR 1 = HUF 383.28 (31.12.2023)
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