The Gradual Incline: MarketScout Composite Rate Up 2% in February

NU Online News Service, March 6, 9:27 a.m. EST

Commercial property and workers’ compensation continue to lead rate increases in MarketScout’s latest survey on market conditions.

The Dallas-based insurance distribution and underwriting company reports a 2 percent increase in the U.S. composite commercial rate index for February.

All coverage classes the survey tracks were up, except for fiduciary and surety, which were flat.

Commercial property and workers’ comp led the way with rate increases of plus 3 percent each in February, according to MarketScout.

The results follow 1 percent increases in the composite rate index during November, December and January.

Until the recent uptick, rates had been down since March 2005. During this time, rates fell to an all-time low of minus 16 percent in December 2007—the lowest decrease since MarketScout began the pricing survey to analyze market conditions in July 2001.

The company “continued to see evidence of a slowly turning market,” says Richard Kerr, chief executive officer of MarketScout, in a statement.

By coverage, business owners, general liability, and umbrella and excess were each up 2 percent. Business interruption, inland marine, commercial auto, professional liability, directors and officers liability, and employment practices liability were each up 1 percent.

By class, news pointed to continued upward momentum. While rates remained unchanged at up 2 percent on a month-to-month basis for medium size accounts, small and large accounts were up 2 percent from 1 percent in January and jumbo accounts were up 1 percent from being flat the prior month.

Comments

Resource Center

View All »

Get $100 in leads with $0 down!

NetQuote's detailed, real-time leads have boosted sales for thousands of successful local agents across the...

The Growing Role of Excess & Surplus Lines in Today’s...

The excess and surplus market (E&S) provides coverage when standard insurance carriers cannot or will...

Increase Sales Conversion with this Complimentary White Paper

This whitepaper will share proven techniques - used by many of the industry's top producers...

D&O Policy Definitions: Don't Overlook These Critical Terms

Unlike other forms of insurance where standard policy language prevails, with D&O policies, even seemingly...

Environmental Risk: Lessons Learned from Willy Wonka and the Chocolate...

Whether it’s a chocolate factory or an industrial wastewater treatment facility, cleanup and impacts to...

More Data, Earlier: The Value of Incorporating Data and Analytics...

Incorporating more data earlier in claims lifecycles can help you reduce severity payments by 25%*...

How Many Of Your Clients Are At Risk Of Flood?

Every home is vulnerable to flooding. Learn four compelling reasons why discussing flood insurance with...

Gauging your Business Intelligence Analytics Capabilities and the Impact of...

Big Data, Data Lakes and Data Swamps, How to gauge your company's Big Data readiness....

Extending Contact Center Capabilities Across the Insurance Enterprise

Today advancements in technology are making a big impact on business and society. To yield...

Drug and Alcohol Testing Requirements

In this two-part series, NBIS Risk Management team will break down the requirements to assist...

PropertyCasualty360 Daily eNews

Get P&C insurance news to stay ahead of the competition in one concise format - FREE. Sign Up Now!

Advertisement. Closing in 15 seconds.