The loss ratio of OSAGO since the beginning of the year was 106%

In the Russian Union of Motor Insurers they stated that compulsory motor third party liability is becoming more and more unprofitable for companies.
This was announced by the President of the Russian SSR Igor Yurgens.
"The loss ratio shows how many payments have actually happened, how much is claimed, but not yet paid, how much will be paid, including recovered within the framework of judicial procedures, because the statute of limitations under OSAGO contracts is three years. All these calculations are made by actuaries on the basis of available data and statistics accumulated over several years. But precisely this indicator reflects the economy of "autocitizen", it is a deep analysis of the market, "he said.
At the same time, Yurgens noted that the loss ratio does not take into account the costs of conducting business of insurers and deductions to compensation funds.
"This means that at a 100% loss ratio, insurers are at zero plus they must seek funds for the WFD and allocations to the combined funds. When the figure is above 100%, the reserves are used, "- he is quoted by the press service of the RSA.
Krasnodar region took the first place in the RF on sales of electronic policies of OSAGO.