The Insurance Commission of WA recorded an underwriting loss of $81.3 million last financial year, compared with a loss of $14.9 million the previous year. It follows the introduction of a scheme covering lifelong catastrophic injuries.

The Motor Vehicle (Catastrophic Injuries Fund) recorded a $98.1 million loss in its first year because premium revenue was not collected from motorists in advance of the catastrophic injuries support scheme’s start date.

The loss will be mostly offset by a transfer of general fund proceeds, made available due to sale of the Forrest Centre in Perth last year.

The Third Party Insurance Fund, which funds the compulsory third party scheme that represents most motor injury costs and claims, recorded an underwriting profit of $20 million, up from $5.2 million the previous year.

The commission received $686.6 million in motor injury premium payments for more than 2.9 million vehicles last year.

It managed $2.2 billion in car crash claims, consisting of $462 million in payments to people injured in crashes mostly in prior years and anticipated future claims expenses of $1.7 billion.

RiskCover, which operates the self-insurance arrangement for WA public authorities, posted an underwriting profit of $52.5 million amid lower claims, led by workers’ compensation and property classes.

The commission delivered a positive investment return of 10.4%, with income gains offsetting underwriting declines. Profit before tax jumped to $263 million from $5.1 million the previous year.