Given their lower expense structure and the resulting ability to offer more competitive rates to price-sensitive consumers, direct auto writers continue to gain market share, according to Moody’s third-quarter financials review for U.S. P&C insurers.
In response Travelers outlined plans to lower expenses and set rates more competitively, and Allstate experienced its second-straight quarter of sequential auto policy-in-force growth for the first time in six years as they implemented more competitive auto rates and eased homeowners’ pricing after years of price increases. Large-scale agency writers, armed with strong infrastructure and long-standing customer relationships, will address competition from the directs by lowering operating costs and prices, according to the ratings firm.
Register or login for access to this item and much more
All Digital Insurance content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access