The composite rate for U.S. property and casualty insurance was down four percent in March 2011, compared to minus 5 percent the previous four months, according to the latestÃ‚ analysis fromÃ‚ online insurance exchange MarketScout.
Richard Kerr, CEO of MarketScout, said:
Ã¢â‚¬Å“We have finally broken out of the doldrums. Rates are moving. WorkersÃ¢â‚¬â„¢ compensation, property, business interruption, small commercial (BOP), general liability and auto rates adjusted in March.Ã¢â‚¬
As in prior soft market cycles, MarketScout expects specific coverage sectors to lead the market back to firmer pricing.
Kerr noted that workersÃ¢â‚¬â„¢ compensation pricing has been firming for the last six months, with rate increases already underway in certain states.
By August, MarketScout expects workersÃ¢â‚¬â„¢ compensation rate increases on a composite basis.
The composite rate for all U.S. property is down 4 percent, but catastrophe exposed property risks are receiving rate increases of two to five percent.
As Kerr said:
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