CRIS: Measuring Competition in the UK Motor Insurance Markets

18 February 2010 | By Enrico Bachis, Steve Diacon, Paul Fenn

A variety of possible measures of competition in the UK motor insurance markets are explored to discover which correlate most closely with prices and profitability. The various measures appear to suggest that the private and commercial motor insurance markets are not necessarily as competitive as is commonly believed. Measures which focus on the behaviour of individual firms over time suggest that both short-run and long-run persistency of profits can be observed in most motor markets. ...

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