Ivans: Auto the exception to decelerating commercial rate trend in February

By David Bull

March 4 - (The Insurer) - Average premium renewal rate change across five of the six major commercial business lines tracked by the Ivans index slowed in February, while auto bucked the trend with an uptick from 9.41% in January to 9.53%.

Business owner's policy premium renewal rate increases were trimmed from 9.02% at the end of January to 8.48%; general liability from 4.19% to 3.95%; commercial property from 9.74% to 8.34%; and umbrella from 9.47% to 9.03%.

Workers’ compensation remained in negative territory, with premium renewal rate reductions of 1.55% in February, compared to 1.44% in January.

The data, which is released monthly, tracks trends for premium rate renewal change of the most placed commercial lines of business, analysing more than 120 million data transactions.

It measures the premium difference year over year for a single consistent policy.

The fourth-quarter data from the firm showed that average premium renewal rate change across three of the six major business lines maintained their upward trajectory, with commercial property seeing the overall greatest price increase.

The organisation’s Kathy Hrach suggested at the time that hard market conditions may be here to stay.