Business Owner’s Policy (BOP) lines experienced the highest renewal rates among property and casualty insurance products in April, according to the new, monthly, premium renewal rate report produced by IVANS, a division of Applied Systems.
Workers’ compensation policy renewals were the only line to see a negative renewal rate change in April.
The results come to light in April’s IVANS Index report, which provides data-driven insurance industry insights gleaned from agent and carrier transactions. Each month, the report summarizes market conditions and trends for premium rate renewal changes by analyzing more than 120 million transactions placed by more than 30,000 agencies and 380 insurers or managing general agents (MGAs).
The report’s authors intend for the result to help agents frame client conversations, and provide deeper insight into future policy rate changes.
By drawing on “more data than anybody else has in the entire space,” Matt Foran, vice president of IVANS Markets, said recently to PC360, “we’re able to help carriers understand the dynamics so they can choose whether or not their positions are competitive, and inform their clients about what they can expect.”
Here are some of the April premium renewal rate changes outlined in the report:
- Commercial Auto: 2.65%, up from 2.61% at the end of March.
- Business Owner’s Policy (BOP): 4.02%, up from 3.86% the month prior.
- General Liability: 2.02%, down from 2.04% at the end of March.
- Commercial Property: 2.95%, up from 2.41% the month prior.
- Umbrella: 1.04%, down from 1.37% at the end of March.
- Workers’ Compensation: -0.19%, up from -0.25% the month prior.
“Our Index indicates that premium renewal rate change across the industry remained consistent, with the greatest year-over-year change being experienced in Business Owner’s Policy and Commercial Property,” Foran said in a statement about the April report. “These market insights further enable agencies to provide their clients with advice on expected renewal rates, as well as support insurer and MGA’s pricing and product strategies.”
The IVANS Index is available to agencies and insurers as part of its Market Insights package.