Market Scout: P/C Rates Up 5 Percent in Q4
MarketScout Corp. reports that U.S. commercial property and casualty rates rose 5 percent on average in the fourth quarter of 2019. That is a 4 percent increase from the third quarter and is a result of insurers increasing prices across most business lines. MarketScout Corp. CEO Richard Kerr said, “Auto rate increases have been up all year long; however, directors and officers (D&O) and professional rate increases have spiked significantly in the fourth quarter. We expect many of the major property catastrophe insurers to curtail their 2020 writings in California brush and East and Gulf Coast wind areas. Naturally, this will result in higher rates to insureds.”
MarketScout adds that D&O liability rates increased by 8.25 percent, auto rose 8 percent, professional liability rates increased 6 percent, and umbrella/excess rates were up 5.5 percent.