THE MOST AFFORDABLE AND THE MOST EXPENSIVE Motor Third-Party Liability IN THE PEAK OF SUMMER 2021

August 11, 2021

The analysis of the 24ins.bg digital platform reveals several trends, the most relevant of which is that there is an increase in the average cost of Motor Third-Party Liability Insurance in July 2021 compared to July 2020.

The average price increase for the period was about 5.41%. The most significant increase was reported for:

• drivers over the age of 45 - 5.62%;
• prices for motor vehicles with a capacity of up to 1600 cc - 6.03%;
• motor vehicles registered in Sofia - they recorded the greatest increase of 6.49%.

At the beginning of 2021, the average price of MTPL was actually lower than the same period in 2020, however, as the summer months of 2021 approach (June and July), the price of the insurance rises and even exceeds the price for the same two months last year. Comparatively, the average price of MTPL for June and July 2021 was respectively 324.42 BGN and 331.92 BGN, while for June and July 2020 the prices were 320.64 BGN and 314.88 BGN.

More interesting trends:

1.By geographical parameter
Once again, just like last year, the least expensive and the most expensive zones remain the same. The rest of the zones also do not change their price position on the geographical map of the Bulgaria:

*The values shown on the map are the average insurance prices for the month of JULY 2021.

Drivers of motor vehicles with license plates from Zone 4 (A, K, CM, X, CT, Y, CO) pay the lowest price for the insurance, followed by drivers of motor vehicles with license plates from Zone 5 (BT, EB, OB, PA, EH, PP, CN, T, H, P). Drivers of vehicles registered in Zone 2 (B and PB) are third in the ranking, while drivers with license plates from Zone 1 (Sofia) pay the second-highest price for Motor Third-Party Liability. The highest price is for Zone 3 (TX, E, PK, BH, KH, M, BP, CC).

2. By parameter - owner's age

The vehicle owner (individual person), who pays the highest price for Motor Third-Party Liability, is up to 25 years of age.

The average price for July 2021 is 440.83 BGN, which marks an increase of around 5.48% when compared to July 2020. Drivers under the age of 25 are considered riskier than drivers in other age groups. Part of the reason for this is that such drivers do not have enough driving experience.

The lowest price is paid by drivers over the age of 45. For July 2021 it is 278,26 BGN and for July 2020 it was 263,45 BGN i.e. the increase is 5,62%.

To provide a comparison among the age categories of drivers, we have shown the average cost per driver who is a individual person or a legal entity. There are no separate age breakdowns for legal entities that influence the insurance price.

While in July 2020, insurance prices for vehicles owned by private persons started at 196.42 BGN and reached 1,021.78 BGN, in July 2021 prices are rising. The lowest price in July 2021 is 209.80 BGN and the highest is 1095.73 BGN. The same applies to legal entities - the highest price in July 2020 is 562,27 BGN, in 2021 it rises to 635,71 BGN.

The graph below shows the lowest and highest price for Motor Third-Party Liability insurance for July 2020 and July 2021:



3. By parameter - engine capacity/displacement

On the basis of the engine capacity of the vehicle, the price of MTPL insurance (for private persons and legal entities) is the highest for engines over 2 500 cc. The average price for July 2021 is 423.07 BGN, marking an increase of 4.70% compared to July 2020, when the price was 404.05 BGN.

In order to illustrate the influence of engine capacity on the price of the insurance, below we have shown four vehicles with different engine capacities and their respective prices. The comparison is between July 2020 and July 2021:

4. Compiled in one image are the lowest and highest mid-summer prices for 2020 and 2021 for private persons and legal entities and their vehicles. What is interesting is that for private persons, the lowest price is paid by drivers over the age of 45, and the highest is paid by drivers under 25, however, the engine power of the vehicles varies (up to 1300, up to 2000 or over 2000cc):

*In order to trace the fluctuations in the price of MTPL insurance, the following key parameters are taken into account:
• Location of vehicle registration;
• owner's age;
• engine capacity/displacement;
• whether the owner of the vehicle is a natural or legal person.

All parameters that affect the price of MTPL insurance, as well as its exact price for a given vehicle, can be checked at: https://24ins.bg/en/motor-third-party-liability/.

The current analysis includes the quotes of the insurance companies - Armeec, Allianz, Bul Ins, Bulstrad, Groupama, Generali, DZI, Euroins, Lev Ins, Uniqa and OZK.

For the purpose of the analysis the following parameters and their corresponding values were used:

This analysis is based on data provided by the beforementioned insurance companies and a statistical sample of insurance policies, concluded at the 24ins.bg portal.

The prices shown are valid for first-time customers, as in some cases insurance companies provide renewal discounts. We encourage you to check our MTPL Calculator and select the best quote for you.

The content is a copyright of https://24ins.bg