MarketScout: Insurance Rates Continue Rise

Average rate increases for commercial and personal insurance lines continued their upward push through August rising an additional point over the prior month, says MarketScout.

The Dallas-based electronic exchange’s property and casualty commercial insurance market barometer puts the composite rate for U.S.-based commercial risks up 5 percent for August. Rates stood up 4 percent for the months of May, June and July of this year.

Commercial property rates in the United States were up 7 percent in August—an acceleration from a 6 percent increase seen in July. 

Workers’ compensation and general liability rates were up 6 percent in August. Rates for directors’ and officers’ liability increased a point to 4 percent from 3 percent in July. Employment practices liability insurance rates held steady up 3 percent.

Not all lines saw an uptick in rate increases in August.

Commercial auto rates dropped from up 5 percent in July to up 4 percent in August. Rates for umbrella/excess increased 3 percent in August compared to 4 percent in July.   

By account size, rates at small and medium accounts were up 5 percent, large accounts were up 4 percent, and jumbo accounts of over $1 million were up 3 percent, says MarketScout.

From an industry class perspective, rate increases in August were led by 6 percent hikes in manufacturing and contracting.

Looking to personal lines, rates in August this year compared to August last year were up 3 percent—an increase from up 2 percent in July.

Insurance on homes valued at above and below $1 million was up 3 percent in August. Auto insurance rates were up 2 percent for the month. 

Comments

Resource Center

View All »

Contractors General Liability Coverage 102

What is a prior work exclusion? Which option is right for my client? Why do...

Sign up today to get a 50% matching credit -...

Insurance marketing sometimes seems like it's a game of swings and misses, but we're here...

Guide: 5 Steps to Selling Cyber

Cyber risk and data security is on the agenda of every business owner and executive....

Citation Correlation

Do rigger and signalperson qualifications correlate with the cause of crane and rigging accidents? ...

Complete Guide to Electronic Signatures in Property & Casualty Insurance...

In property and casualty insurance, closing new business quickly is key. Learn how to leverage...

INSTANT ACCESS: Complimentary Sales Closer Questionnaires

Help property owners or managers compare your commercial residential property insurance coverage vs. the competition....

Determining Vacant Property Perils and Valuations

Are your clients fully covered for Vacant Properties? In this economic climate, your insureds may...

Risk Management for Law Firms

This package of 3 concise risk management articles offers straightforward content and practical suggestions law...

Guide: Top 15 E&O Risks-And How To Avoid Them

Accidents happen. But when it's an errors and omissions oversight, that accident can open your...

We'll Show You How to Reach Your Sales Goals

Whether you work alone or have a team of agents working for you, we can...

Agent & Broker Insider eNewsletter

Proven success tips and essential information to help agents and brokers grow their practice – FREE. Sign Up Now!

Advertisement. Closing in 15 seconds.