Personal lines insurance rates are slowly rising, but commercial lines remain flat, so the price of insurance for all businesses is unchanged year-over-year, according to research from insurance exchange Marketscout.
“The market continues to be trending downward over the last eight months, from October 2014 at plus-1.5 percent to April 2015 at a zero-percent increase,” said Richard Kerr, CEO of MarketScout. “It’s not dramatic but it is a trend. Coastal property may experience some slight rate increases since we are on the cusp of the wind season. Rates on all other exposures should continue to be quite competitive.”
By coverage classification, business owners policies (BOP), professional liability and D&O coverage decreased by one percent as compared to March 2015; automobile insurance increased to plus-2 percent; rates for all other coverages remained the same.
By account size, rates were flat for all except accounts with more than $1,000,000 in premium; jumbo accounts declined 2 percent in April as compared with rates in March 2015, MarketScout said.
All industry classifications were unchanged in April with the exception of transportation, which held steady at a rate increase of plus-1 percent, and habitational, which increased from 0 percent in March 2015 to plus-1 percent in April 2015.
Rates Summary (by coverage, industry class and account size)
By Coverage Class
Commercial Property: Up 1 percent
Business Interruption: Up 0 percent
BOP: Up 0 percent
Inland Marine: Up 0 percent
General Liability: Up 0 percent
Umbrella/Excess: Up 0 percent
Commercial Auto: Up 2 percent
Workers’ Compensation: Up 0 percent
Professional Liability: Up 0 percent
D&O Liability: Up 0 percent
EPLI: Up 1 percent
Fiduciary: Up 0 percent
Crime: Up 0 percent
Surety: Up 0 percent
By Account Size
Small Accounts (Up to $25,000): Up 1 percent
Medium Accounts ($25,001 $250,000): Up 1 percent
Large Accounts ($250,001 $1 million): Up 0 percent
Jumbo Accounts (Over $1 million): Down 2 percent
By Industry Class
Manufacturing: Up 0 percent
Contracting: Up 0 percent
Service: Up 0 percent
Habitational: Up 1 percent
Public Entity: Up 0 percent
Transportation: Up 1 percent
Energy: Up 0 percent
