Motor Accidents Insurance Board (MAIB)
Investigation of Pricing Policies 2009
On 13 February 2009, the Treasurer requested the Commissioner to investigate the charges levied on motorists by the Motor Accidents Insurance Board (MAIB) for Compulsory Third Party (Motor Accident Personal Injury) Insurance.
After taking account of all submissions received, the Commission set out its final recommendations to the Government in the Commission's  Final Report on 28 July 2009. Following consideration of those recommendations, the Government will determine maximum premiums that may be charged by the MAIB for the following four years.
Copies of submissions received by the Commission in response to the Draft Report are provided below.
On 3 June 2009, the Commission released its Draft Report which takes into account a submission form the MAIB in response to the Terms of Reference. A copy of the Media Release is also available.
The MAIB initially lodged a submission addressing the matters listed in the Terms of Reference for the Investigation on 20 February 2009. On the 1 April 2009, the MAIB lodged a revised submission. The following three amendments were made:
- minor correction to page 48 which now correctly state the actuarial calculations of the break-even premium for the average Common Law claim size ($112 375) has been inflated and discounted to 31/5/2010;
- minor correction page 59 which now correctly states the total estimated Scheduled Benefits cost per vehicle for the break-even premium is 26 per cent lower, not 16 per cent lower; and
A copy of the Terms of Reference for the Investigation and the revised MAIB's preliminary submission are also available.
The revised Appendix E tables include:
- Tables E.2 and E.3 are as per the original MAIB submission except for minor corrections to some 2005-06, 2006-07 and 2007-08 actual numbers;
- Tables E.4 to E.6 relate to an alternative Break-even premium based on revised assumption; and
- Tables E.7 and E.8 incorporate the result of the MAIB's consulting actuary's recent quarterly review for the period ending 31 March 2009.
Past Investigations [2006] [2003] [2000] [1997]
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