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ANNUAL REPORT 2011-12
Contd.... BOX ITEM 9
Vehicles Recovery Information System (SVRIS) whereby Police provide the information on the stolen and subsequently
recovered vehicles. It has also provided a public search facility for the extensive use of accident victims in case of an
emergency situation to get the insurance details of vehicle involved in the accident.
The IIB has also developed and introduced a Vehicle Insurance Status SMS System (VISSS), which provides an additional
mechanism to look into the insurance status of the vehicle. This service is provided to the registered mobile numbers. It
helps the Police/Regional Transportation Authority (RTA) to track uninsured vehicles on road and also to get confi rmation
about whether a vehicle is a stolen one or not.
The way forward for IIB is to standardize the data elements used in the insurance industry, real time collection of data
from insurers, single point of data source for the needs of all stakeholders, etc. Further, the IIB is in the process of collecting
data for the remaining lines of business in the non-life insurance segment as well as on the life insurance segment. The
IIB is also exploring to employ advanced analytics to produce various advanced outputs, including the following:
Aggregate reports including Nat Cat accumulations;
Interactive Possibilities for Insurance Industry, Police, Cargo movers, Hospitals, Policyholders;
Analytical reports e.g. Trends, Time series, Geo/Macro-economic/demography correlations with insurance, claims
occurrence patterns;
On demand bespoke reports.
An analysis based on the transaction level data on the Motor segment, as submitted by insurers to IIB, brought out many
interesting facts. Some of the important fi ndings are as follows:
It was observed that new vehicles (which are less than one year old) account for 31 per cent of total vehicles insured
in the country. On the claims front, the new vehicles contribute 38 per cent in total Own Damage (OD) Claims and
27 per cent in total Third Party (TP) claims.
Only fi ve states, viz. Maharashtra, Tamil Nadu, Gujarat, Karnataka and Uttar Pradesh account for 49 per cent of all
vehicles insured in the country.
The findings also demonstrate that 24 per cent of Own Damage (OD) claims are instances of multiple claims involving
the same vehicle. Further, in private car segment, 7 per cent of OD claims pertain to policies which made more than
5 claims in a year.
Though, Third Party (TP) claims accounted for only 29 per cent of total claims made in a year (the remaining 71 per
cent are OD claims), it contributed 54 per cent of total claim amount paid. This highlights the severity of TP claims
when compared to OD claims.
The data shows that the industry is focusing on issuing of Comprehensive Policies as these account for 84 per cent
of all motor policies issued.
Though “Two-wheelers” as a class of vehicle form 58 per cent of total motor policies issued, it contributed meager
11 per cent of total motor insurance premium.
On the claims settlement front, in case of TP claims, it has been observed that only 3.78 per cent of the claims incurred
pertains to the policies issued during the year 2011-12, while the corresponding amount of claims for the same period
is 14.23 per cent.
enable the insurer to recover the stolen vehicle, etc.,
which led to successful implementation of the following
applications:
IRDA Agency Licensing Portal;
Integrated Grievances Management System
(IGMS); and
Stolen Vehicles Recovery Information System
(SVRIS).
IV.7 ACCOUNTS
IV.7.1 The Accounts of the Authority for 2011-12 have
been audited by the Comptroller and Auditor General
of India (C&AG). Pursuant to the provisions of Section
17 of IRDA Act, 1999, the Audited accounts along with
the Audit Report are required to be forwarded to the
Government of India to be placed in both the Houses
of Parliament.
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