Commercial insurance rates across the United States increased 5 percent on a composite basis. Transportation and manufacturing risks lead the rate increases at plus 6 percent. Small accounts continue to pay a higher rate than larger accounts.
“The commercial market is continuing its slow but steady upward trajectory in rates and premiums,” noted Richard Kerr, CEO of MarketScout. “Couple this with slight increases in exposures and the overall premium written on an expiring account is frequently up 8 to 9 percent.”
The National Alliance for Insurance Education and Research conducted pricing surveys used in MarketScout's analysis of market conditions. These surveys help to further corroborate MarketScout's actual findings, mathematically driven by new and renewal placements across the United States.
A summary of the January 2013 rates by coverage, industry class and account size is set forth below.
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By Coverage Class
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Commercial Property
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Up 6%
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Business Interruption
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Up 3%
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BOP
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Up 5%
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Inland Marine
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Up 3%
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General Liability
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Up 6%
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Umbrella/Excess
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Up 3%
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|
Commercial Auto
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Up 5%
|
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Workers’ Compensation
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Up 4%
|
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Professional Liability
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Up 4%
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D&O Liability
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Up 4%
|
|
EPLI
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Up 3%
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Fiduciary
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Up 2%
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Crime
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Up 2%
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Surety
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Up 1%
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By Account Size
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Small Accounts
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Up 6%
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Up to $25,000
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|
|
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Medium Accounts
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Up 5%
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$25,001 – $250,000
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|
|
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Large Accounts
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Up 4%
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$250,001 – $1 million
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|
|
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Jumbo Accounts
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Up 2%
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Over $1 million
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By Industry Class
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|
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Manufacturing
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Up 6%
|
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Contracting
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Up 5%
|
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Service
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Up 5%
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Habitational
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Up 5%
|
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Public Entity
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Up 4%
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Transportation
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Up 6%
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|
Energy
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Up 4%
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For more detailed rating analysis or market projections by industry class, coverage or account size, contact Vilma Scott at
vscott@marketscout.com.
About MarketScout
The Commercial and Personal Lines Market Barometers are compiled by MarketScout, an insurance distribution and underwriting company headquartered in Dallas. The firm owns and operates the MarketScout Exchange at
marketscout.comas well as over 40 other online and traditional underwriting and distribution venues. MarketScout founded the
Entrepreneurial Insurance Alliance(EIA) in 2009. In 2010, MarketScout launched MarketScout Wholesale, LLC (MSW), to complement its electronic underwriting and distribution strategy. In 2012, MarketScout founded the
Council for Insuring Private Clients. MarketScout and MSW have offices in Arizona, Arkansas, California, Connecticut, Florida, Indiana, Illinois, Louisiana, New York, Oregon, Tennessee, Texas and Washington, D.C.
