According to a study by the consulting firm, Addactis, lockdown is having a positive impact on motor and homeowner’s loss experience. The current traffic restrictions, implemented since the last two months, have led to a decrease of 75% in the number of mileage travelled.
The decrease in accidents, resulted in a projected decline of 12% in the annual loss experience. In addition, the market reported a 35% decrease in vehicle theft and damage. Ultimately, motor insurers are believed to drop by 1.5 billion EUR (1.63 billion USD) in their annual incurred losses in 2020.
With regard to homeowners' insurance, figures reveal an 80% drop in the number of burglaries. Regardless of the frequency, the cost of theft compensation fell by 10% . By the end of 2020, homeowner’s insurers may save up to 350 million EUR (379.5 million USD).
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