Archive for October, 2011

Oh deer, it’s that time of year again. State Farm has just released its annual report on U.S. deer-vehicle collisions.

State Farm’s findings show that for the third consecutive year, the number of deer-vehicle collisions has dropped, and the downturn is accelerating.

Using its claims data, State Farm estimates that 1.09 million collisions between deer and vehicles occurred in the U.S. between July 1, 2010 and June 30, 2011. That’s 9 percent less than three years ago and 7 percent fewer than a year ago.

However, the average property damage cost of these incidents was $3,171, up 2.2 percent from the year before.

For the fifth year in a row, West Virginia tops the list of states where an individual driver is most likely to run into a deer. State Farm calculates the chances of a West Virginia motorist striking a deer over the next 12 months at 1 in 53, an improvement over last year’s odds of 1 in 42.

Iowa remains second on the list (1 in 77), followed by South Dakota (1 in 81) which moves up one place to third, Pennsylvania (1 in 86) which jumps two places to fourth, Michigan (1 in 90) which drops from third to fifth.

November, the heart of deer migration and mating season, is the month during which deer-vehicle encounters are most likely, with more than 18 percent of such mishaps occurring in this month.

So why are deer-vehicle collisions declining?

In a press release, State Farm notes:

While we can’t put our finger directly on what’s causing a decline in deer-vehicle collisions, we’d like to think media attention to our annual report on this subject has had at least a little bit to do with it.”

What do you think?

Check out I.I.I. tips on how to avoid deer/car collisions.

Check out State Farm’s map to see if you live in a high risk state:

 

Property and casualty rate reductions are coming to an end and the soft market is drawing to a close, according to online insurance exchange MarketScout.

In its latest market analysis, MarketScout noted that the composite rate for U.S. based property and casualty insurance was flat at zero percent in September 2011.

Richard Kerr, chief executive officer of MarketScout said:

Brokers and insurers shouldn’t pop the champagne just yet, but there is light at the end of the soft market tunnel. Financial metrics may not necessarily call for pricing adjustments in all areas, but after six-and-a-half years, the market may turn anyway.”

Workers’ compensation and catastrophe-exposed property classes are leading the way towards higher rates.

MarketScout reported rate increases of 1 percent in commercial property and BOP coverages. Workers’ compensation rates were up 2 percent.

Professional liability, D&O, fiduciary and crime coverages were flat. Other lines of coverage had a composite rate decrease of 1 percent to 2 percent, still a moderation compared to prior months.

Check out I.I.I. information on the industry’s results and market conditions.