The consequences of the ongoing coronavirus crisis continue to impact the French economy and many are forecasting that they will continue to do so into 2021, and therefore the purchasing power of the French people will be reduced. To support its members in this difficult period, ICMIF member MAIF has announced it will freeze its motor insurance rates* for the year 2021.
The mutual insurer says that during this exceptional year it has taken equally exceptional measures from the start of the crisis by offering to pay back the equivalent of the estimated drop in claims costs for an amount of 100 million euros to its members. With this decision, MAIF says it affirmed two major intentions: to show solidarity with its members and not to take advantage of the situation.
On 1 April 2020, the MAIF Board of Directors decided to pass on the savings achieved because of the reduction in road accidents during the containment period to its member-policyholders.
Containment across France had led to a significant decrease in the number of motor vehicle accident reports. Based on an eight-week containment period, the estimated savings compared to a normal situation amounted to approximately EUR 100 million. As a result, MAIF decided to pay this sum to its members who hold a motor insurance policy and who were up to date with their contributions. This represented a lump sum payment of EUR 30 euros per insured vehicle.
By not increasing the amount of auto contributions next year, so as not to cause an increase in the expenses of its members, the MAIF Group wishes to continue its effort of solidarity with them, within the means available to it.
Dominique Mahé, Chairman of MAIF said: “In the exceptional period we are living through, our priority is to continue to support our members and to contribute to the collective effort of solidarity, in line with the mutualist values that drive us.”
Pascal Demurger, CEO of MAIF said: “This decision will have an impact on our future results. We assume it.
“More than ever, we are defending the purchasing power of our members. In accordance with our raison d’être, we are guided by a deep conviction: businesses have a role to play in building a more united and sustainable world.”
MAIF’s raison d’être is: “Convinced that only a sincere attention paid to others and to the world can guarantee a real better common, we, MAIF, place this attention at the heart of each of our commitments and of each of our actions. “
* VAM (Motor Vehicle Insurance) and PACS (Extended Driver Protection) insurance rates frozen for 2021