Although the pundits are still predicting the end of the soft market, most agents and brokers responding to CIAB's Commercial P/C Market Index Survey reported an average 6.4 percent decrease in commercial rates for fourth-quarter 2008. Forty-three percent of respondents said premiums for small accounts were down from 1 to 10 percent, with 35 percent reporting no change compared with the third quarter. For medium accounts, 50 percent said premiums were down between 1 and 10 percent while 17 percent saw decreases in the 10 to 20 percent range. Eighteen percent saws no change in rates compared with last quarter.
Not surprisingly, one of the few exceptions was in D&O coverage, where 17 percent of respondents reported a 1 to 10 percent increase in premiums, while 36 percent reported no change and 21 percent said rates declined between 10 and 20 percent. Other lines that show single-digit signs of tacking upward included business interruption, broker E&O, commercial property (especially in coastal areas), flood insurance, EPL, marine and workers' compensation.
For the complete survey, click here.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.