Auto insurance: how is the bonus-malus calculated?


Many criteria influence the amount of auto insurance, including the famous bonus-malus. Find out how it works.

When you take out auto insurance on allianz.fr, there are many criteria that allow you to objectively calculate the amount of the contribution. These include, among other things, age, length of driving license, make and model of the vehicle, its power, use, and even where it lives and where it is parked. This is because you might pay more if you live in a city unfavorably known for the many thefts or if you are a young driver, especially if you have bought a powerful car. But the insurance premium, whether paid monthly or annually, also takes into account another criterion, which is often overlooked. This is the reduction-increase coefficient, better known by the acronym of CRM, or simply bonus-malus. Concretely, this system allows you to vary your premium up or down depending on the number of claims previously declared. The value and terms of the CRM are then set by the state.

In fact, the principle is very simple: if the driver does not record any responsible accident, he gets a bonus of 5%, which corresponds to a CRM of 0.95. Each year, this bonus increases if no claim is declared, until a maximum coefficient of 0.50 is expected, which then corresponds to 14 years without any accident of your doing. At Allianz, if your vehicle is guaranteed for “touring” or “all travel” use, the annual bonus increases to 7%. Conversely, the penalty increases by 25% for each responsible claim. The CMR is then multiplied by 1.25, until a maximum coefficient of 3.50 is reached. Beyond that, the insurer can then terminate you. Note that if the damages are shared, the coefficient is reduced by 12.5%, while non-responsible accidents have no impact on the latter. Two years without claims that are charged to you will then allow you to reduce the coefficient again.

How is the bonus-malus calculated?
To calculate the amount of your reduction-increase coefficient, Allianz takes into account the period of 12 consecutive months preceding the expiry of your contract by two months. For example, if the anniversary date of your contract is March 31, 2021, your insurer takes into account the period from February 1, 2020 to January 31, 2020, quite simply. Note that when you insure a vehicle for the first time, your CRM is 1. Then you just have to multiply the previous coefficient by 0.95 if you have not declared a responsible accident, and by 1.25 in the opposite case. To know exactly your bonus-malus, you can request an information statement from your insurance company, such as Allianz, which is also sent every year. This will also be useful if you want to change insurer, the CRM being attached to the driver and not to the contract.

Post a Comment

أحدث أقدم