Jordan: Complaint index calculated for motor insurers
Source: Middle East Insurance Review | May 2019
The Insurance Department of the Ministry of Industry, Trade and Supply, has published the latest Vehicle Insurance Complaints Index, as an indication of the best and worst motor insurers for 2018.
The Index is based on an insurer’s share of the total number of complaints lodged against it to its motor market share in terms of total premiums, according to local media reports.
The Index aims to help Jordanians choose the insurer that meets their needs, in addition to urging insurers to improve their performance and services.
An insurer has a favourable rating when the Index value is lower than ‘1’. Where the value is more than ‘1’, the insurer is considered to have an unfavourable rating.
According to the Index, the top five companies are: Middle East Insurance (0.16), Jordan Insurance (0.18), Arabia Insurance (0.33), Euro Arab Insurance (0.37) and The Mediterranean & Gulf Insurance (0.38).
The complaints index is one of the indicators used to assess the performance of insurers. The most important of these indicators is the solvency margin.
The number of complaints about motor insurance lodged with the Department of Insurance totalled 769 in 2018 compared with 724 in 2017.
Gross premiums recorded for motor insurance reached JOD228m ($321.6m) last year, while the total motor insurance compensation paid amounted to JOD242.9m. M
JOD1 = $1.41