Hard market continues across commercial lines
Renewal rate increases in the US slowed in most commercial lines in February, but in almost all lines premiums are still higher than a year ago, according to the latest IVANS index.
Year over year, nearly all lines of business, except workers’ compensation, saw an increase in the average premium renewal rate. Compared to January, however, that was only true for business owners’ policies, up 5.41% from 5.28% in January, and workers’ compensation, where renewal rates were still down 0.95%, but less than the 1.26% fall in the previous month.
Commercial auto (with renewals up 4.06% compared to 4.13% in January), general liability ( 4.11% compared to 4.23%), commercial property (6.01% from 6.17%) and umbrella (4.68% against 5.58%) all saw average premium renewal rate increases slow.
“Year-over-year, workers’ compensation continues to be the only major commercial line of business below zero, continuing a trend that has been happening for years,” said Kathy Hrach, vice president of Product Management, IVANS Insurance Services.
The IVANS Index is produced monthly for the most placed commercial lines of business in the insurance industry and analyses more than 120 million data transactions from the US market.