NU Online News Service, Sept. 6, 3:30 p.m. EDT

For the second consecutive month, overall property and casualty rates came in at minus-2 percent, indicating rates are continuing to firm, says MarketScout.

The Dallas-based electronic insurance exchange released its August market barometer, saying average rates were unchanged from last month as most coverage classes were either flat or up for the month.

“Property rates are continuing to firm,” says Richard Kerr, chief executive officer of MarketScout in a statement. “In July 2011, the composite rate for all property placed in the U.S. adjusted from minus-2 percent to flat. This includes new and renewal business on both cat and non-cat exposed property.”

Rates for both commercial property and business interruption were flat in August, compared to minus-2 percent in July. Employment practices liability insurance exhibited more firming in August going from flat to plus-2 percent.

Crime lost some ground, from plus-1 percent to flat.

By account size, small accounts edged up during the month, from plus-1 percent to plus-2 percent. Medium accounts also edged up from minus-2 percent last month to minus-1 percent.

Both large accounts ($250,000- $1 million in premium) and jumbo accounts (over $1 million) were unchanged on a month to month basis at minus-3 percent and minus-4 percent respectively.

“The larger the account, the more aggressive the underwriting community,” says Kerr. “Big prestige name accounts have always enjoyed preferred pricing. Brokers, agents and underwriters continue to be aggressive in their efforts to place marquee names on their client list.”

Special Reports /

MarketScout: Rates Continue to Show Signs of Firming

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