On a composite basis, U.S. commercial lines were up 5 percent and personal lines rates increased 4 percent as compared to the same time period a year earlier, according to MarketScout’s rate index for January 2013.

“The commercial market is continuing its slow, but steady, upward trajectory in rates and premiums, couple this with slight increases in exposures and the overall premium written on an expiring account is frequently up 8 to 9 percent,” said Richard Kerr, CEO of MarketScout. Commenting on the personal lines rate increases, he added, “admitted personal lines insurers continue to take slight rate increases across the board. For those accounts that must secure terms from the non-admitted market rate, increases are as much as 10 percent in many instances.”

In commercial lines, transportation and manufacturing risks lead the rate increases at 6 percent. Also, smaller accounts continue to pay a higher rate than larger accounts, and when broken up by coverage class, commercial property (up 6 percent), general liability (up 6 percent) and commercial auto (up 5 percent).

The base rate for homes valued over $1,000,000 was up the most in terms of personal lines at 4 percent. Homeowners under $1,000,000 in value saw a rise of 3 percent, automobile personal lines rose 4 percent and personal articles rose 5 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.

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