The Australian Prudential Regulation Authority (APRA) has released its latest report on policies and claims for professional indemnity and public and product liability insurance.

The latest report by APRA’s National Claims and Policies Database includes data up to December 31 last year, including the first available data from Lloyd’s Australia.

Last year APRA-regulated general insurers wrote $2.84 billion in gross premium in professional indemnity and public and product liability insurance.

Gross written premium (GWP) from professional indemnity policies (excluding facility business) for the period was $1.182 billion, while GWP from public and product liability policies (excluding facility business) earned $1.612 billion.

The national average written premium for professional indemnity risks fell by 10.2% last year to $3078. Over the past three underwriting years, the national average premium for professional indemnity risks has decreased by 22.5%.

The national average written premium for public and product liability risks also fell during 2009, but by a smaller margin of 3.4% to $750. The national average public and product liability premium has remained relatively steady over the past three underwriting years, decreasing a total of 4.6% from 2006.

During last year, APRA-regulated Australian general insurers paid claims totalling more than $1.223 billion on professional indemnity and public and product liability business. Of this, $487 million related to professional indemnity and $682 million related to public and product liability insurance.

Last year, Lloyd’s Australia wrote $493 million of gross premium in these classes of insurance.

GWP for professional indemnity policies was $99 million (excluding facility business), while GWP for public and product liability policies (excluding facility business) was $85 million. The total premium written as facility business in 2009 by Lloyd’s was $309 million.

Lloyd’s average written premium for professional indemnity risks last year was $130,600, up from $107,400 in the 2008 underwriting year, while average written premium for public and product liability risks was about $104,400. Last year Lloyd’s paid claims totalling $184 million on professional indemnity and public and product liability business.