Current Table

Defense Costs And Cost Containment Expenses As A Percent of Incurred Losses, 2014-2016 (1)

($000)

  2014 2015 2016
  Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Product liability $953,008 85.0% $1,037,580 70.5% $844,602 102.5%
Medical malpractice 1,873,518 44.3 1,867,891 53.7 1,920,552 50.3
Commercial multiple peril (2) 2,085,336 38.9 1,978,730 34.7 2,151,790 35.0
Other liability 4,367,724 20.4 4,788,421 20.0 4,066,892 15.4
Workers compensation 3,369,341 13.0 3,308,079 13.6 3,270,001 13.6
Commercial auto liability 1,266,020 10.6 1,541,634 11.3 1,486,922 9.9
Private passenger auto liability 4,714,964 6.5 4,917,582 6.2 5,008,093 5.7
All liability lines $18,629,911 13.1% $19,439,917 12.8% $18,748,852 11.4%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2006-2008 (1)

($000)

  2006 2007  2008
  Amount As a percent of incurred losses  Amount  As a percent of incurred losses  Amount As a percent of incurred losses 
Products liability $875,027 134.6% $953,252 78.6% $1,033,796 65.4%
Medical malpractice 2,438,039 56.6 2,048,106 55.2 1,860,793 58.1
Commercial multiple peril (2) 2,322,743 36.7 2,145,905 41.3 1,810,340 34.3
Other liability  5,727,069 27.1 5,374,618 24.6 4,821,033 24.4
Commercial auto liability 1,062,688 9.9 1,167,397 11.6 1,065,820 10.7
Workers compensation 2,734,225 11.0 2,913,659 12.0 2,646,662 11.6
Private passenger auto liability 3,716,980 6.6 3,643,939 6.1 3,602,567 5.9
All liability lines $18,876,771 15.2% $18,246,876 14.5% $16,841,011 13.6%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: National Association of Insurance Commissioners (NAIC) Annual Statement Database, via Highline Data, LLC. Copyrighted information. No portion of this work may be copied or redistributed without the express written permission of Highline Data, LLC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2007-2009 (1)

($000)

  2007 2008 2009
  Amount As a percent of incurred losses Amount As a percent of incurred losses Amount As a percent of incurred losses
Products liability $949,839 77.6% $1,028,628 63.8% $1,029,911 86.2%
Medical malpractice 2,046,772 54.9 1,865,598 58.3 1,886,591 57.3
Commercial multiple peril (2) 2,705,572 19.8 1,811,415 34.3 1,799,507 43.7
Other liability 5,372,694 24.5 4,835,297 25.5 5,174,214 24.8
Workers compensation 2,903,862 12.2 2,642,574 11.8 2,407,144 10.8
Commercial auto liability 1,166,907 11.6 1,070,040 10.7 963,574 10.3
Private passenger auto liability 3,648,746 6.1 3,595,860 5.9 3,928,911 6.3
All liability lines $18,794,392 14.0% $16,849,412 13.8% $17,189,852 13.9%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2008-2010 (1)

($000)

  2008 2009 2010
  Amount As a percent of incurred losses Amount As a percent of incurred losses Amount As a percent of incurred losses
Medical malpractice $1,865,598 58.3% $1,886,557 57.2% $1,808,104 61.4%
Products liablity 1,028,628 63.8 1,028,628 63.8 895,591 57.0
Commercial multiple peril (2) 1,811,415 34.3 1,799,507 43.7 1,880,941 44.7
Other liability 4,835,297 25.5 5,174,214 24.8 5,289,585 25.6
Workers compensation 2,642,574 11.8 2,407,144 10.8 2,492,843 11.2
Commercial auto liability 1,070,040 10.7 963,574 10.3 929,009 10.6
Private passenger auto liability 3,595,860 5.9 3,928,788 6.3 3,946,317 6.2
All liability lines $16,849,412 13.8% $17,188,412 13.8% $17,242,390 13.8%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2009-2011 (1)

($000)

  2009 2010 2011
  Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Products liability $1,029,911 86.2% $895,591 57.0% $1,140,722 73.4%
Medical malpractice 1,886,557 57.2 1,809,027 61.4 1,795,637 57.6
Commercial multiple peril (2) 1,799,507 43.7 1,880,945 44.7 1,897,812 37.6
Other liability 5,174,214 24.8 5,289,524 25.6 4,456,024 25.3
Workers compensation 2,407,144 10.8 2,492,866 11.2 3,089,083 12.7
Commercial auto liability 963,574 10.3 929,063 10.6 961,042 10.3
Private passenger auto liability 3,928,788 6.3 3,946,431 6.2 3,959,017 6.2
All liability lines $17,189,695 13.9% $17,243,447 13.8% $17,299,337 13.8%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2010-2012 (1)

($000)

  2010 2011 2012
  Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Products liability $899,174 54.7% $1,140,230 72.0% $873,860 114.7%
Commercial multiple peril (2) 1,881,223 44.7 1,896,935 37.6 2,022,739 46.0
Medical malpractice 1,809,106 61.4 1,793,296 57.5 1,685,867 45.7
Other liability 5,270,556 25.5 4,464,140 25.0 4,959,838 24.8
Workers compensation 2,502,138 11.2 3,087,836 12.6 3,053,222 12.4
Commercial auto liability 927,259 10.5 960,961 10.3 1,090,969 10.4
Private passenger auto liability 3,946,241 6.2 3,960,967 6.2 4,343,521 6.7
All liability lines $17,235,697 13.8% $17,304,365 13.8% $18,030,016 14.0%

(1) Net of reinsurance, excludes state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2011-2013 (1)

($000)

  2011 2012 2013
  Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Products liability $1,140,230 72.0% $873,860 114.7% $1,166,236 75.1%
Medical malpractice 1,793,296 57.5 1,686,009 45.7 1,656,049 53.3
Commercial multiple peril (2) 1,896,935 37.6 2,022,739 46.0 2,096,543 37.7
Other liability 4,464,140 25.0 4,959,838 24.8 4,914,106 25.4
Workers compensation 3,087,836 12.6 3,071,093 12.3 3,012,719 12.3
Commercial auto liability 960,961 10.3 1,091,434 10.4 1,207,596 10.7
Private passenger auto liability 3,960,967 6.2 4,353,427 6.7 4,600,395 6.8
All liability lines $17,304,365 13.8% $18,058,400 13.9% $18,653,644 14.0%

(1) Net of reinsurance, excludes state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
DEFENSE COSTS AND COST CONTAINMENT EXPENSES AS A PERCENT OF INCURRED LOSSES, 2012-2014 (1)

($000)

  2012 2013 2014
  Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Amount As a percent of
incurred losses
Product liability $873,860 114.7% $1,166,236 75.1% $952,997 77.4%
Medical malpractice 1,686,009 45.7 1,656,257 53.3 1,873,874 43.2
Commercial multiple peril (2) 2,022,739 46.0 2,096,543 37.7 2,083,103 39.1
Other liability 4,959,838 24.8 4,914,374 25.4 4,365,569 21.1
Workers compensation 3,071,093 12.3 3,018,372 12.3 3,357,813 12.9
Commercial auto liability 1,091,434 10.4 1,207,681 10.7 1,266,046 10.6
Private passenger auto liability 4,353,427 6.7 4,600,395 6.8 4,714,584 6.5
All liability lines $18,058,400 13.9% $18,659,858 14.0% $18,613,986 13.1%

(1) Net of reinsurance, excludes state funds.
(2) Liability portion only.

Source: SNL Financial LC.

 
Defense Costs And Cost Containment Expenses As A Percent Of Incurred Losses, 2013-2015 (1)

($000)

  2013 2014 2015
  Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Amount As a percent
of incurred losses
Product liability $1,166,236 75.1% $952,997 77.4% $1,037,576 70.5%
Medical malpractice 1,656,257 53.3 1,873,835 43.2 1,871,109 53.8
Commercial multiple peril (2) 2,096,543 37.7 2,083,103 39.1 1,977,804 34.7
Other liability 4,914,500 25.4 4,366,030 21.1 4,786,370 19.9
Workers compensation 3,035,186 12.3 3,357,813 12.9 3,305,927 13.7
Commercial auto liability 1,207,682 10.7 1,266,051 10.6 1,541,787 11.4
Private passenger auto liability 4,600,395 6.8 4,714,942 6.5 4,923,908 6.2
All liability lines $18,676,799 14.0% $18,614,771 13.1% $19,444,481 12.8%

(1) Net of reinsurance, excluding state funds.
(2) Liability portion only.

Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.