60.00%
Motor
€0.60 of claims per €1 of premium
5.00 claims per 100 policies · severity €1,500
Hron Mutual · Bratislava · June 2026 · fictional
Home returns €1.20 of claims per €1 of premium.
The book looks fine at 70.00%. That average hides Home. Home is the least frequent line, 2.00 claims per 100 policies, and the only one above 100%. Motor is more than twice as frequent and still at 60.00%.
120.00%
Home
€1.20 of claims per €1 of premium
2.00 claims per 100 policies · severity €12,000
20.00%
Travel
€0.20 of claims per €1 of premium
1.00 claims per 100 policies · severity €400
Without claims at or above €10,000
Home falls from 120.00% to 20.00%. The average severity of €12,000 describes neither the 8 claims of €2,500 nor the 2 claims of €50,000.
- Home claim 1001: €50,000
- Home claim 1002: €50,000
Scorecard
| Product | Policies | Earned premium | Claims | Per 100 | Severity | Paid | Loss ratio | Ex-large |
|---|---|---|---|---|---|---|---|---|
| Motor | 2,000 | €250,000 | 100 | 5.00 | €1,500 | €150,000 | 60.00% | 60.00% |
| Home | 500 | €100,000 | 10 | 2.00 | €12,000 | €120,000 | 120.00% | 20.00% |
| Travel | 2,500 | €50,000 | 25 | 1.00 | €400 | €10,000 | 20.00% | 20.00% |