The Evolution of Automobile Insurance

By Catherine Kargas, Vice President, MARCON

(Mar. 21, 2013) – Automobile insurance represents approximately half of Canadian P&C insurance net premiums written (NPW). Two-thirds of the more than $19 billion of automobile insurance NPW “flow” through the broker channel.

This large piece of the P&C insurance pie is highly likely to change in the coming decade due to numerous customer trends and technologies. These changes will most probably have a sizeable impact on the total auto insurance premiums in Canada.

Upcoming technologies are expected to impact mobility as well as vehicle ownership. This will in turn have a significant impact on the insurance industry and brokerages.

In this article, I examine the trends that are occurring with respect to automobile ownership and use as well as the factors that are contributing to these trends and finally. In addition, I briefly discuss driverless/autonomous technology and its potential impacts on Canada’s P&C insurance industry.

Read the full article in PDF format.

About the Author

Catherine Kargas, MBA, is a business strategist with over 20 years of experience providing consulting advice to executives in the insurance, transportation (with an emphasis on alternative propulsion technologies) and energy sectors. She is the Vice President of the management consulting firm MARCON and the Vice Chair of Electric Mobility Canada. Catherine has worked with numerous players in the P&C space, including insurance carriers and brokers. She is a member of the Insurance 2023 group and an collaborator.