The Motor TP rates are administered by the IRDAI. The same is reviewed on a periodical basis.
Chart 4.4.1GDPI - Motor Third Party
Table 4.4.1Motor TP
| 2021-22 | Value |
| No. Of TP Policies( Under Package) | 87,163,832 |
| No. Of Standalone TP Policies | 58,187,707 |
| Premium (in Cr) | 43,261 |
| No. Of Claims Reported | 411,061 |
| No. Of Paid Claims | 336,632 |
| Amt of Paid Claims (in Cr) | 17,189 |
Source: Council Compilation as per source
data submitted by companies
Chart 4.4.2Gross & Net Incurred Claims Ratio - Motor Third Party
Source: Council Compilation as per source
data submitted by companies
Chart 4.4.3Rural vs Urban Premium - Motor TP
Source: Council Compilation as per source
data submitted by companies
Chart 4.4.4GDPI Breakup on Categories - Motor TP
Chart 4.4.5Policies Breakup on Categories - Motor TP
Source: Council Compilation as per source
data submitted by companies
Chart 4.4.6Motor Third Party Claims
Caveat: The above ratio represents only the Incurred Claims of Motor TP Insurance portfolio as a percentage of TP Premium accounted during the Financial years. Motor TP portfolio is long tail in nature. TP Liability Claim pertaining to TP policies issued during a Financial year gets reported 4-5 years after the expiry of the Financial Year.
Source: Form no VI of Forms I-X for the year 2013-2014 onwards and IIB summary Reports for earlier years. Gross Incurred Claims from Council Compilation.
Note: Lag in claims reporting and subsequent payment of claims in a year is characteristic of Motor TP Policies, hence the above chart may be viewed with such understanding.
Source: Council Compilation as per source
data submitted by companies
Chart 4.4.7Share of Incurred Claims - Motor TP (Amount)
Chart 4.4.8Share of Incurred Claims - Motor TP (Number)
Source: Council Compilation as per source
data submitted by companies
From Charts 4.4.4 & 4.4.8 the following information is derived for the year 2021-22 in respect of Motor TP segment.
Motor 2W segment contributes 15.5% of the total TP premium. However, its share of Incurred claims (Amount) in TP is 21.1%.
Motor private 4W segment contributes 28% of the Motor TP premium. However it’s share of overall incurred claims is 39.9%. Motor Commercial Vehicle segment (passenger & Goods carrying) contributes about 47.5% of the total TP premium. However, its share of incurred claims is 29%.
However, its share of incurred claims is only 29%.