June Personal Lines Rates in the U.S. Up 4%
Market steady pre-wind season
As personal lines insurers brace for what is predicted to be an active hurricane season, rates on average were up 4 percent across the U.S.
All homeowners and auto policies increased the same as last month, plus 4 percent. Personal articles floaters pricing decreased slightly at plus 2 percent as opposed to plus 3 percent last month.
Richard Kerr, CEO of MarketScout noted, “We are seeing an increased interest in the high-net-worth space. There are two major insurers considering moving into high-net-worth in a meaningful way.. If they do, the increased competition could have an impact on rates.” Kerr went on to point out, “Don’t get too excited about the new entrants. The high-net-worth space is tough to handle. It takes an enormous amount of capital and exceptional talent. Not many companies can fulfill those requirements. We expect any new entrants to tread lightly for the first year or two as they try to determine their place in the market.”
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 June 2013 personal lines rates is set forth below.
About MarketScout
MarketScout is a national MGA and wholesale broker specializing in assisting agents in placing high net worth personal lines business. The firm operates the MarketScout Exchange at marketscout.com as well as over 40 other online and traditional underwriting and distribution venues. MarketScout is the founder of the Council for Insuring Private Clients (CIPC). The CIPC's mission is to provide a venue where agents and insurers may collaborate on how to better serve their private clients. MarketScout has offices in Arkansas, California, Connecticut, Florida, Illinois, Indiana, New Jersey, Texas and Washington, D.C.
