National insurance profits, premiums at record highs 1

SYRACUSE — A recent report issued by
New York City Comptroller William C.
Thompson, Jr. cited record profits for the
insurance industry nationally that are resulting
in increased expenses for residents
of New York State.
Thompson’s report, entitled “Highway
Robbery: The High Cost of Automobile
Insurance in New York,” states that the
historically high cost of car-insurance premiums
in New York State is unfair to drivers,
considering the insurance industry is
paying less in incurred losses.
In New York, auto insurers received
$10.5 billion in premiums in 2005, a
29 percent increase from premiums of
$8.2 billion in 2000, according to
Thompson’s report.
During those five years, incurred losses
decreased from $6.4 billion to $5.1 billion,
a drop of more than 20 percent, the report
states.