Rates: Two Reports — No Surprises

Ivans Insurance Services and Marsh have released separate reports on rates in the third quarter. They have quite a few differences and conclusions, and Marsh’s also looks at how insurance is doing globally.

The report from Ivans says commercial auto and property rates rose in the third quarter but other lines saw declines.  

Commercial auto premiums in the 3rd quarter rose 9.71%. That compares to 9.27% int he second quarter. Rates for commercial property rose a staggering 11.69% compared to the second quarter’s 10.85%.

General liability is up 4.28%, down from 4.87% in the second quarter. BOP rates dropped an average of 8.68% and umbrella rates fell 8.56%.

Workers compensation renewal rates remained pretty much the same falling 1.28% in the third quarter compared with a drop of 1.29% in the second. .

Marsh’s report said on average commercial rates in the United States rose 3% in the third quarter. The insurer says that’s up from a 1% average rise in the second. The 3% rise was pushed by a 10% jump in casualty rates.

Around the planet rates fell an average of 1%. The first drop since 2017.

Of the major lines in this country, umbrella coverage and excess liability rose 21%. That compares to a 10% hike in the second quarter. In the meantime, Marsh’s stats say excess liability rates fell by 1%. That compares to a 2% hike in the second quarter.

Directors and officers (D&O) rates and cyber liability rates fell 4%. In the second quarter of this year the drop averaged 5% for both.

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