Statement of Corporate Intent
Introduction
This Statement of Corporate Intent (SCI) is a high-level summary of the Corporate Plan (Plan) and includes a performance agreement between the Board of the MAIB and the Shareholding Ministers.
The performance agreement details the key financial and non-financial targets for the MAIB for 2025-26, as agreed between the Board and the Shareholding Ministers through the Corporate Planning process.
The SCI has been prepared in accordance with the Government Business Enterprises Act 1995 (GBE Act) and the Corporate Planning and reporting process for 2025-26.
Strategic Direction
The core business of the MAIB is to provide compulsory third-party personal injury motor accident insurance and deliver appropriate support for people impacted by road trauma in Tasmania.
The three main drivers of business performance are premiums, investment income and claims expense. Major external influences include claims rates and severity, financial market impact on investment revenue and changes in the prevailing bond yield which impact claims expense. While every attempt is made to monitor and navigate these external influences, it is not possible to predict annual profits with certainty, leaving forecasts open to significant volatility.
The strategic goals for the planning period are identified below.
Clients
We treat each person as an individual, provide clear communication and early support to help achieve client-based outcomes. We help to connect clients with providers to ensure appropriate services, with quality and safeguarding measures. We have leading-edge supported accommodation options available to clients, which are suitable for recovery.
People
Our people are equipped to deliver positive client outcomes by being accountable to our values and behaviours. We have a people and culture strategy which sets out how we will invest in, support and develop our people.
Financial Sustainability
We are entrusted to deliver fair and equitable benefits to clients. We apply good governance to maintain a sustainable scheme that maximises long term financial outcomes and provides appropriate returns to Government, while providing affordable premiums to motorists.
Service Delivery
Staff have business systems and processes which are easy to use and proactively support clients in their recovery. We are developing modern claims management and reporting systems which will provide the foundation to further leverage client facing automation and digital service opportunities.
Community
We are a trusted and respected partner connecting with stakeholders and the Tasmanian community to champion the reduction of road casualty. We raise awareness of the good we do for Tasmanians and have an effective strategy to guide our support of industries and providers.
Performance Agreement
Financial returns to Government
2025-26 | 2025-26 | 2026-27 | 2027-28 | 2028-29 | |
|---|---|---|---|---|---|
| Total ($M) | 55.3 | 55.3 | 37.2 | 33.5 | 25.4 |
Target | Estimates | ||||
| Dividends paid ($M) | 47.3 | 47.3 | 26.3 | 33.5 | 25.4 |
| Tax equivalents paid ($M) | 8.0 | 8.0 | 10.9 | 0.0 | 0.0 |
Financial targets
2025-26 | 2025-26 | 2026-27 | 2027-28 | 2028-29 | |
|---|---|---|---|---|---|
Target | Estimates | ||||
| Financial result after tax ($M) | 33.5 | 33.5 | 30.1 | 32.6 | 31.1 |
| Funding ratio (%) | 120-145 | 133.8 | 133.3 | 132.8 | 132.1 |
| Return on equity (%) |
|
| |||
| – 1 Year | 8.0 | 4.7 | 4.3 | 4.6 | 4.4 |
| – 15 Years | 8.0 | 15.2 | 16.2 | 13.3 | 11.7 |
| Return on assets (%) |
|
| |||
| – 1 Year | 3.0 | 1.9 | 1.6 | 1.7 | 1.5 |
| – 15 Years | 3.0 | 6.0 | 6.3 | 5.4 | 4.7 |
| Return on investments (%) |
|
| |||
| -1 Year | 4.5 | 4.5 | 4.5 | 4.5 | 4.5 |
| – 15 Years | 4.5 | 7.2 | 7.3 | 6.6 | 6.1 |
| General Premium increase (%) | 2.5 | 2.5 | 2.5 | 2.5 | 2.5 |
Non-financial targets
| 2025-26 | 2025-26 | 2026-27 | 2027-28 | 2028-29 | |
|---|---|---|---|---|---|
Target | Estimates | ||||
| General claim rate per 1,000 vehicles | 3.5 | 3.5 | 3.5 | 3.4 | 3.3 |
| Serious claim rate per 1,000 vehicles | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 |
| Number of outstanding claims | <2,400 | <2,400 | <2,375 | <2,350 | <2,350 |
| Client satisfaction (%) | 80.0 | 80.5 | 21.0 | 81.5 | 82.0 |
| Premium affordability of AWOTE (%) | 18.0 | 18.0 | 18.0 | 18.0 | 18.0 |
| Supported Accommodation Renewal Project - within Budget (%) | <100 | <100 | <100 | <100 | <100 |
| Supported Accommodation Renewal Project - Gateways & Major Milestones met (%) | 100 | 100 | 100 | 100 | 100 |
Directors Statement of Corporate Intent and agreement of the Shareholding Ministers
The Board of the Motor Accidents Insurance Board agrees to provide the Shareholding Ministers with financial and other information as set out in this Statement of Corporate Intent.
In signing the Statement of Corporate Intent, the Board of the Motor Accidents Insurance Board commits to the targets proposed for the 2025-26 financial year (to the extent that the targets are in the control of the MAIB).
This Statement of Corporate Intent has been agreed between:
Lance Balcombe, Chair, Motor Accidents Insurance Board (on behalf of the Board)
Kerry Vincent MLC, Minister for Infrastructure and Transport
Eric Abetz MP, Treasurer