A survey from an independent agent's association representingfour states in the Northeast says the combination of escalatingrates and stricter underwriting forced 93 percent of producers toincrease their remarketing efforts over last year.

James E. Pittz, business issues director for ProfessionalInsurance Agents (PIA) tells PC360 that of the 93 percentwho increased their remarketing efforts, 15 percent say they had toremarket as much as a quarter of their book of business.

The survey of more than 400 members of the ProfessionalInsurance Agents of Connecticut, New Hampshire, New Jersey and NewYork examined market trends in four market lines: Homeowners,Personal Auto, Commercial Property and CommercialLiability.

The largest shift came in Homeowners. Ninety-five percent ofagents in the four states say new business rates increased, and 46percent say the increases ranged from 6 percent to 10 percent. Morethan 45 percent say there is significant or extreme change inunderwriting.

Turning to the Commercial Property market, the survey finds 96percent say prices are up on new business and 97 percent say pricesincreased on renewals in the range of 6 percent to 10 percent.Thirty percent characterize changes in underwriting as“significant” or “extreme.”

“The fact that prices are shifting, combined with the changes inunderwriting, signified that the market is moving toward a hardmarket,” says PIANH President Scott Johnson, in a statement.

Pittz suggests that for both Homeowners and Commercial Propertyinsurers are responding to losses from Superstorm Sandy, whichstruck the Northeast on Oct. 29, 2012.

For the Commercial Liability market, agents say rate increasesare within the same range of increase as Homeowners and CommercialProperty, but only 22 percent viewed underwriting changes assignificant or extreme.

The Personal Auto market saw the least amount of changewith increases ranging from 0-5 percent. Underwriting guidelinesremained the same or saw minor changes.

The survey also found that:

• 37 percent of agents say that less than 5 percent of theirbusiness is going through wholesalers.

• 35 percent saw the same or no change in nonrenewals orcancellations for personal auto.

Pittz says that this survey is a benchmark for futuremarket-trend surveys. Plans call for the next survey to be launchedat the end of the year, he says.

The survey does not define what agents view as significant orextreme underwriting changes, but only sought to measure theirimpression of the market.