November 25, 2019
EXECUTIVE SUMMARY
The following are key takeaways from The Council of Insurance Agents & Brokers’ Commercial Property/Casualty Market Report Q3 2019 (July 1 – September 30):
- Premium pricing across all-sized accounts increased moderately at 6.2% in Q3 2019, marking the eighth consecutive quarter of rate increases. Large accounts were impacted the most by the hardening market, recording an average premium increase of 7.6%, compared to 5.6% in Q2 2019.
- With the exception of Workers’ Compensation, signs of market hardening were seen across all commercial lines of business, which experienced slight-to-moderate pricing increases in Q3 2019. Umbrella and Commercial Auto were hit hardest in Q3, with average price increases of 9.8% and 9.1%, respectively. The average premium increase across all major lines was 5.9%, in comparison to 4.6% in Q2 2019 and 3.4% in Q1 2019.
- Demand for Cyber was as high as ever, with 79% of respondents reporting an increase in demand for cyber insurance. According to a respondent from a midsized Southeastern firm, “Clients are more aware of the need for the product now.”
- Seventy-three (73) percent of respondents named “future premium increase(s)” as a topthree client concern, which seems prescient considering the continued market firming in the past few quarters. “Cyber risk” and “limitations on coverage” tied for second place with 55% of respondents identifying them both as top-three concerns.
Click here to download the full Commercial Property/Casualty Market Report Q3 2019.
The Council relies on data from broker members to create this report. To participate in future surveys or for questions/comments, please contact The Council’s Rob Boyce at Robert.Boyce@ciab.com.