Midwest News
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Mich. DOI Study Finds Competition Doesn't Equal Affordability; Insurers Say Losses Driving Rates
Midwest News • March 24, 2005
Michigan's Office of Financial and Insurance Services last week released the results of its long-awaited study of competitiveness in the state's insurance market. While the report found ...
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| Subject | Posted By | Posted On |
|---|---|---|
| The dollar statistics are way off | mark sweeney | Apr 16, 2006, 2:59 pm |
| you must be joking | Amazed | Mar 28, 2005, 7:23 am |
| RE: Mich DOI Study | Bill K. | Mar 25, 2005, 4:07 pm |
| Mich DOI Study | This took brain power? | Mar 24, 2005, 3:07 pm |
| Back to article | ||
Subject: you must be joking
"According to the reports, 98 percent of every auto insurance premium dollar in 2001 was used to pay claim losses. For homeowners insurance, carriers spent 109 percent of each premium dollar on claims that same year. Premiums for homeowners insurance have been exceeded by the sum of losses and expenses in Michigan each year from 1995 through 2001."
So the industry barely covers its losses on auto (not considering commissions and underwriting expenses) and can not cover its losses on homeowners...and that makes rates excessive???