The Reasons Behind Rising Prices

Why Are Prices Increasing Overall?

IDA Forsikring exists solely to benefit IDA members, and we do not design the organisation to generate profit.

However, we have never assisted as many members - or paid out as many claims - as we did in 2023 and 2024. This trend is continuing into 2025. To maintain the same strong coverage and ensure you remain well protected against the unexpected, the Board of IDA Forsikring has decided to adjust the price of your insurance.

There are several reasons why claims costs have risen for several consecutive years. One of the key drivers is increasingly extreme weather. For example, 2023 was the wettest year on record in Denmark since 1874, and 2024 was the second-wettest.

Weather-related claims affect many types of insurance but often hit the more expensive ones - such as home, motor, and travel insurance. Unfortunately, the outlook indicates that weather-related claims will continue to increase in both frequency and severity.

At the same time, these claims have become significantly more expensive due to prolonged high inflation and rising energy prices, which have driven up the costs of repairs, construction labour, and spare parts. For this reason, the Board has assessed that it is prudent to adjust premiums now.

These price adjustments also reflect a broader trend in the insurance industry, where most companies have already raised prices or announced plans to do so.

Why Is the Price of Supplemental Unemployment Insurance Increasing?

After several years of very low unemployment among members, we are now seeing a sharp rise in the number of members who lose their jobs and activate their income protection. The number of members requiring benefits has more than doubled over the past two years, and in the first half of 2025 alone, we received more claims than ever before.

We already saw significant deficits on this insurance scheme in 2023 and 2024, which led to earlier price increases. Unfortunately, this development is continuing.

In addition to higher unemployment within the scheme, we are also seeing more extended unemployment periods, resulting in longer benefit payments. At the same time, claims handling costs are rising. Therefore, we have had to increase insurance prices to maintain the same level of coverage.

We recognise that this is a considerable increase, especially following earlier adjustments. Regrettably, it is necessary, and we would have preferred to avoid it. But the new price reflects the current unemployment levels and claims patterns, which are significantly higher than before.

In addition to adjusting the price, we are also updating the terms of the supplemental unemployment insurance. Given the current situation, we need to implement stricter admission criteria. We are therefore reinstating the original nine-month waiting period. This reintroduction helps protect the scheme's financial stability and the terms for existing members, while requiring new members to contribute for a longer period before becoming eligible for benefits. We find this policy prudent.

For many years, the scheme's price has been among the lowest on the market, and both we and our partner, Topdanmark, consider the product to remain highly competitive.

Topdanmark is seeing an increase in income protection claims across all customer and professional groups. So this is not a challenge limited to engineers. We also see other insurers raising prices and tightening terms- and some have even terminated customers and closed their products entirely. We still encourage you to assess your options, as individual needs vary.

Why Are Prices Rising Despite Tryg Reporting Large Profits?

IDA Forsikring operates as an independent association with its own finances. This structure means that IDA Forsikring’s members fund all claims directly through their premiums. Our prices are typically lower than those of other providers because our members generally take better care of their belongings.

Therefore, Tryg’s financial results do not affect IDA Forsikring. Our Board sets our prices based solely on the development of our own finances - not on Tryg’s.

We are not aiming for large profits. But at the same time, it is clear that the association cannot continue to run ongoing deficits as in 2023 and 2024, when claims costs rose sharply. As the higher level of claims appears to be long-term, we are now required to increase premiums.

Which Insurance Products Are Affected by Price Increases?

Not all of our products are increasing in price. The affected products are:

• Motor insurance
• Building insurance
• Home contents insurance
• Travel insurance
• Cat and dog insurance with illness cover
• Supplemental unemployment insurance

These are the areas where we have seen the highest claims costs.

If your premiums are affected, you will receive a notification letter either in e-Boks or by physical mail.

Multiple Notification Letters

We have been notifying price increases for contents, travel, and pet insurance with illness cover since 2024. If you already received such a letter last year, the prices of those policies will not increase again.

Depending on your individual policy renewal dates, you may receive multiple notification letters. We sent a notification to the policyholder 1.5 months before the main renewal date.

Can I Reduce the Cost of My Insurance?

We always recommend reviewing your insurance portfolio annually, as your needs and circumstances may change over time.

For example, your children may have moved out, or you may have increased the insured value of personal belongings you no longer own or whose value has decreased. These are common factors that may affect your premium. But your insurance needs may have changed in many other ways as well - and you may be able to save money.

You can find your policies on Min Side, where you can see your coverage and review your terms and conditions.

At this time, it is not possible to update your policies through Min Side. Instead, please get in touch with us by phone at 70 21 01 91 or via our online contact form.

In 2024, we made it easier to qualify for IDA Gold, which offers a 15% discount on most policies. If you are not already a Guld member, check whether you may benefit from upgrading. You can read more about the IDA Guld requirements on our website.

Where can I find my insurance agreement and my insurance conditions?

You can find your insurance agreements and insurance conditions on Min Side.

Here you can, for example:

• View your policy/insurance agreement and the related insurance conditions
• View your personal and contact information
• Report a claim/use your insurance
• View your invoices
• Grant power of attorney to your spouse/partner so they can view and edit your insurance on Min Side

If you have trouble logging in to Min Side, please click here.

If you know your policy's conditions number, you can find all our insurance conditions here.

Why does Min Side show a lower premium?

Min Side shows your insurance premium without fees and taxes. You can read more about costs and taxes here.

We index your insurance premiums annually, and in 2025, we will increase them by 3.5%. We base the index adjustment on Statistics Denmark’s net wage index for the private sector.

We update your premium, insurance sums, and deductible on 1 January each year when your policy renews. Prices for goods, services, and other expenses change continuously, and to ensure the value of your belongings does not erode over time, your insurance must keep pace with these changes.

Can I cancel my insurance?

You can read how to cancel your insurance here.

For any insurance policy where we have announced a price increase, you have the right to cancel. This policy allows you to cancel without incurring a termination fee. You can cancel up until the renewal date by contacting us.

If you want to cancel your other insurance policies, the standard cancellation rules apply.

Will all IDA Forsikring members experience price increases?

Price increases affect all members who hold the policies involved. We have carried out a thorough analysis to identify the policies where income and costs differ the most.

Therefore, some insurance types increase more than others, some do not increase at all, and some members will not experience any price increases.

Why do I face a price increase when I haven’t filed a single claim this past year?

First of all - thank you. You help keep prices down. But no one can predict when or how damage will occur; it often occurs unexpectedly and can affect anyone. Insurance works as a shared distribution of risk, and when total costs rise due to higher claim expenses, all policyholders share that increased risk. To continue offering the same strong coverage to all customers, we must raise prices.

Can you guarantee that prices won’t increase again next year?

No, we can’t give that guarantee. We raised prices on selected insurance types in 2024, but before that, we had not introduced general price increases or announced any since 2010. Our explicit goal for the 2024 and 2025 increases is to avoid further increases in the coming years.

But as we explain in the section about why we raise prices, we operate in a new economic reality that also affects IDA Forsikring. We cannot predict whether inflation will rise or fall. We also don’t know whether 2023 and 2024 were exceptional years for weather events, so we cannot guarantee prices won’t rise again.

At the same time, we won’t rule out lowering prices again on some insurance types in future years if IDA Forsikring generates a surplus.

Why has my Car Insurance become more expensive?

Car insurance premiums increased in 2024. Price increases mostly stem from the high inflation of recent years. More expensive repair bills and higher spare-part prices are especially driving up costs.

We also see more car insurance claims. More cars on the roads and longer driving distances increase the risk of accidents.

At the same time, we are seeing more weather-related damage to cars, and hybrid and electric vehicles generally cost more to repair. As a rule of thumb, repairs for electric cars cost up to 30% more than repairs for petrol and diesel cars.

Why has your Home Contents Insurance become more expensive?

Home contents insurance premiums are among those that are increasing. Inflation is a significant factor, and global supply chains have come under pressure multiple times. These facts made it more expensive to replace members’ belongings, whether they are damaged or stolen.

We also face more weather-related challenges, resulting in higher costs from cloudbursts and more home-contents claims in recent years.

Why has your Building Insurance become more expensive?

Several factors are driving the increase in building insurance premiums. As mentioned earlier, the weather has become more extreme. For example, 2023 and 2024 were the wettest years on record in Denmark, and cloudbursts and rising water levels often cause costly damage, such as flooded basements.

Recent claims also cost more because they follow a period of high inflation. Prices for tradespeople and building materials have risen significantly.

We have also updated our building insurance product to reflect current market conditions better. You can read about the changes here.

Why has your Travel Insurance become more expensive?

Price increases affect travel insurance more than the average across all increases.

The main reason is the high inflation we have seen over the past years. Many countries have significantly increased the cost of medical treatment over the last 3–4 years. Hospital stays, doctor visits, and repatriation now rise faster than ordinary wage indexes.

Trip cancellation prices have also risen in recent years, partly because many people have purchased more expensive flights and hotel stays after the COVID-19 lockdowns.

Why has your Dog Insurance become more expensive?

Dog insurance is among the types with the most significant percentage increase. We see more dogs becoming ill or injured, which has significantly increased veterinary costs in recent years.

Dog insurance premiums have risen primarily because veterinary and medical expenses have increased sharply.

However, your dog insurance does not increase in price if you only hold the mandatory liability coverage. You can therefore reduce your cost by removing add-ons and keeping only liability insurance.

Why has your Cat Insurance become more expensive?

Cat insurance is also among the types with the most significant percentage increase. Veterinary and medical expenses have risen sharply in recent years, driving up prices.