Page 99 - TGIA_AnnualReport2012

Table 2: Loss Ratio of General Insurance Business
(Unit: Million Baht)

Earned Premium Losses Incurred after Loss Ratio (%) Loss Ratio (%)
Type of Insurance 2012 Deduction 2012 2012 2011
(Jan - Oct) (Jan - Oct) (Jan - Oct) (Jan - Oct)
Fire 4,232 3,738 88.3 8.9

Marine & Logistics 2,259 890 39.4 28.4
Motor 70,536 41,148 58.5 58.5
Miscellaneous 19,012 4,436 23.3* 50.4

Total 96,040 50,213 52.3 53.4

*Note: Since claim payment from industrial all risk insurance was received, the difference between earned premium and
losses incurred after deduction decreased and thus caused the loss ratio of miscellaneous insurance to drop
accordingly.
Source: The Office of Insurance Commission (OIC)

The Fiscal Policy Office projected that in 2013, the Thai economy will grow between 4.5-5.5% due to many
supportive factors such as a rapid expansion of government investment and the recovery of world economy. Some
factors that may have effect include the economic recovery of trade partners, especially the fiscal cliff in the US, the
progress in solving public debt problem in the EU and political situations in countries who are trading partners of
Thailand including an ability to disburse the budget by government agencies according to the plan.

It is forecasted that in 2013, the general insurance business will grow by about 15%, compared with the year
2012. The main driving factors included strong growth in motor, miscellaneous and property insurance, especially
the miscellaneous insurance whose growth has been estimated at 19.5%.

In 2013, the Office of Insurance Commission will require insurance companies to increase the capital

adequacy ratio under the Risk Based Capital (RBC) Framework from 125% to 140% which will cause insurance
companies to prepare themselves to comply with the new requirement in order to build confidence among the
policyholders.

สมาคมประกันวินาศภัยไทย | Thai General Insurance Association 97