Since Norway closed down due to the pandemic last year, several have had to cancel trips abroad. Korona led to one huge decline in air traffic for both SAS and Norwegian – while the insurance companies have noticed a large increase.
TV 2 has asked the largest insurance companies in Norway for an overview of the number of corona-related insurance cases – and the sums paid out on these.
In total, Gjensidige, Tryg, Fremtind, European / If, Frende and Storebrand have handled more than 300,000 corona-related insurance cases since the pandemic last year.
This corresponds to a staggering sum of more than NOK 1.4 billion.
–
–
– The pandemic has taught us a lot about how customers like to be flexible, says communications director Andreas Handeland in If / European Travel Insurance.
And there is no doubt that there is one category in particular that reigns supreme.
Travel matters reign supreme
The insurance companies Gjensidige and Trygg have experienced massive growth since the pandemic started in Norway last year. By far the largest proportion of inquiries are related to travel, explains the companies that TV 2 has spoken to.
– It is true that it is travel matters that top the overview from us. Since the pandemic came to Norway, we have had 50,000 corona-related cases, of which 90 percent concerns cancellation, says communications manager Line Marcelius in Gjensidige.
– This amounts to approximately NOK 200 million in compensation payments, she explains.
– Communications consultant Torbjørn Brandeggen in Tryg insurance. Photo: Safe insurance
–
Communications adviser Torbjørn Brandeggen in Tryg says that they have handled more than 55,000 claims since the start of the pandemic. The compensation cost is around NOK 220 million.
– Over 90 percent of all coronary-related injury cases from March last year to today are travel.
– Tryg has also had some travel cases from last year that have remained unresolved until this year. The reason is that the customer will initially try to resolve the matter with the airline or travel company, so it has taken some time. Sometimes it is only when the customer receives a response from the airline that we get the case processed, says Brandeggen.
Difficult to put price tag
Communication consultant Grete Trulsrud in Fremtind says that it has been difficult to put a price tag on what the corona has cost the insurance company as a whole, but gives TV 2 an approximate cost.
– Communications consultant Grete Trulsrud in Fremtind insurance. Photo: Fremtind
–
– Within our various areas, it is clearly travel insurance that has been most affected through the pandemic, Trulsrud says.
Under the category “travel”, Fremtind has received 100,000 cases for cancellations and 5,600 cases for evacuations.
The total amount of compensation for travel items amounts to around NOK 426 million.
– We have also seen an increase in boat damage. Many used 2020 to buy a boat. Adjusted for growth, we can say that this has resulted in an increased claims cost of approximately NOK 10 million. Our appraisal inspectors on boats report a busy summer, says Trulsrud.
Storebrand has experienced 10,500 corona-related cases on travel insurance with payments of around NOK 45 million.
– In the time immediately after the pandemic outbreak, we had large payments as a result of canceled trips, but this calmed down and we had a longer period with low compensation on travel insurance, says Executive Vice President for Retail, Heidi Skaaret, in Storebrand.
Flexibility
At European Travel Insurance, the progress has been great – especially since the insurance company chose to run a flexible solution for customers early in the pandemic.
– When the pandemic started, we chose to go out early with flexibility and cancellation options for our customers – even outside our own terms, says communications director Handeland.
– TRAVEL QUEUES: The queue from travelers at Gardermoen in July this year. Photo: Truls Aagedal / TV 2
–
To date, the company has processed more than 75,000 corona-related insurance cases, and in the first half of 2020, NOK 420 million was paid out. About 80 percent were related to cancellation and travel.
– It naturally cost us a lot of money, but for If as a whole, it went down in other areas. For a period, there were fewer accidents in traffic and a lot of home offices – so that it was evenly balanced in 2020.
Premium increase
TV 2 has asked the insurance companies whether the huge sums of kroner will affect the premium increase for customers – or whether it has already affected.
– During the pandemic period, we have adjusted the price of travel insurance somewhat up after changes in currency and non-life inflation, says communications consultant Brandeggen in Tryg.
– We have not made any extraordinary price increases during this period, but we are following closely whether the compensation levels are different before and after the pandemic, says Skaaret in Storebrand.
However, the other companies have said no.
– European has not had any premium increase due to the pandemic, and we have no plans to go further either, says communications director Handeland.
–
