Direct written premiums for auto and homeowners insurers increased in the first quarter of the year.

Among private auto insurers, direct written premiums climbed to $47.39 billion in the first quarter, a 4.18-percent increase compared to the same quarter last year, according to a recent SNL Financial report and ranking. Rates have been rising consistently across the industry for the past two years, the report said, and Q1 was the best first-quarter rate since 2004.

“The sluggish post-recession period gave way to artificially low interest rates that weighed on investment returns and forced insurers to generate better underwriting profits,” SNL said in the report. “Mid- to high-single-digit percentage hikes became the norm, with some seeking even greater increases early on. That activity is only now showing signs of slowing, just as companies' higher-priced policies are juicing their top-line results.”

Homeowners insurance writers also experienced higher growth in direct written premiums compared to the same quarter last year, and loss ratios decreased to 43.05 percent; the loss ratio was 50.91 percent in Q1 2012, according to the report.

In Q1 2013, total direct premiums written for the homeowners insurance industry was $17.242.5 billion, a 6.80-percent increase over the $16.144.1 billion total for the same quarter last year, SNL said.

 

Q1 2013 Top 10 Private Auto Insurers by DWP (millions)

State Farm Mutual Automobile Insurance Co. - $8,427.3 

GEICO Corp. - $4,718.8 

Allstate Corp. - $4,533.3 

Progressive - $3,906.5 

Farmers Insurance Group of Co. - $2,590.0 

USAA Insurance Group - $2,341.8 

Liberty Mutual - $2,255.9  

Nationwide Mutual Group - $1,939.8 

Travelers Cos. Inc. - $ 920.2 

 

Q1 2013 Top 10 Homeowners Insurers by DWP (millions)

State Farm Mutual - $3,628.2 

Allstate Corp. - $1,547.4 

Farmers Insurance Group - $1,181.5 

Liberty Mutual - $1,106.0 

USAA Insurance Group - $ 855.2 

Travelers Companies Inc. - $ 716.1 

Nationwide Mutual Group - $ 640.4 

Chubb Corp. - $ 420.5 

American Family - $ 327.6 

Hartford Financial Services - $ 248.3 

 

SNL Financial rankings are based on NAIC filings, the company said.

 

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

Don't have an account? Register for Free Unlimited Access