Friday, April 8, 2011
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 latestÂ analysis fromÂ online insurance exchange MarketScout.
Richard Kerr, CEO of MarketScout, said:
â€œWe have finally broken out of the doldrums. Rates are moving. Workersâ€™ compensation, property, business interruption, small commercial (BOP), general liability and auto rates adjusted in March.â€
As in prior soft market cycles, MarketScout expects specific coverage sectors to lead the market back to firmer pricing.
Kerr noted that workersâ€™ compensation pricing has been firming for the last six months, with rate increases already underway in certain states.
By August, MarketScout expects workersâ€™ 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:
Insurance Journal has more on this story.