Filed Under:Markets, E&S/Specialty

Commercial Rates Up 4% in February; New Industry Classes Leading the Way

Commercial-insurance rates were up by 4 percent in February compared to the same month a year ago, but different industry classes led the charge on increases compared to months prior, according to MarketScout.

Richard Kerr, CEO of MarketScout, says, “Over the last year, transportation and energy have lead rate increases most of the time. However, for February, transportation was up 4 percent and energy was up 3 percent. The only industry with a lesser rate increase was public entities. Manufacturing, service and habitational companies lead the February industry rate increases at plus 6 percent.”

By coverage class, commercial-property rates were up by 6 percent for the month. Umbrella/excess and commercial auto followed with 5 percent increases for February compared to February 2012, while business-owners policies, general liability, workers’ comp, professional liability and directors and officers were all up 4 percent. Surety showed the most modest increase, up by just 1 percent compared to February 2012.

As seen in previous months, the larger the account, the more competitive the pricing. Rates for jumbo accounts, defined as premium over $1 million, were up by 2 percent in February. Large accounts ($250,001 to $1 million in premium) were up by 3 percents, Medium accounts ($25,001 to $250,000) were up by 5 percent and small accounts (up to $25,000) were up by 6 percent.

Top Story

What does TRIA denial mean for workers’ compensation?

What does the denial of a TRIA renewal mean to the workers’ compensation industry?

Top Story

Shock, dismay and disappointment: P&C insurance industry's reaction to TRIA news

The U.S. Senate adjourned for the year on Dec. 15 without passing the Terrorism Risk Insurance Program Reauthorization Act.

More Resources

Comments

eNewsletter Sign Up

Specialty Markets Insight eNewsletter

Receive updates and analyses on hard to place and challenging coverages. Sign Up Now!

Mobile Phone
         

Advertisement. Closing in 15 seconds.