The property casualty composite index for business placed in the United States measured minus 1 percent for August 2016 matching the minus 1 percent of July 2016.
Richard Kerr, CEO of MarketScout, outlined the rate index by noting, “While the month to month composite rate is stable there is clear movement in commercial auto and transportation accounts with each showing a year over year rate increase of plus 3 percent. Insurers have decided it is time for commercial auto and transportation accounts to start paying up.”
By coverage classification, commercial property, workers’ compensation and professional liability each moderated 1 percent in August to minus 1 percent for property, minus 1 percent for workers’ compensation and flat for professional liability. Commercial auto rates increased to plus 3 percent. All other coverages remained unchanged.
By industry classification, manufacturing, habitational and energy each moderated 1 percent in August. All other industry classifications remained unchanged.
The only adjustment by account size was for those accounts over $1,000,000 premium that adjusted from down 3 percent in July to down 2 percent in August.
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.