Ivans: US P&C commercial rate increases accelerated for auto, GL and property in May

By Michael Loney

June 6 - (The Insurer) - The Ivans Index has shown that three of the six major U.S. commercial insurance lines it tracks recorded sequential accelerated rate increases, while increases decelerated for two lines and workers’ compensation rates continued to fall.

The premium renewal rate index showed that commercial auto, general liability and commercial property experienced increases in premium renewal rate change, while BOP, umbrella and workers’ compensation had a decrease.

The index shows rate increases for commercial auto of 8.45% in May that was up slightly from 8.41% last month, for BOP of 7.89% that was down slightly from 7.98%, for general liability of 4.86% that was up from 4.33%, for commercial property of 7.77% that was up slightly from 7.70%, and for umbrella of 9.11% that was down from 9.41%.

Workers’ compensation rates fell 1.87% May, compared with a 1.78% drop in April.

Year over year, commercial auto, BOP, general liability, commercial property and umbrella experienced increasing average premium renewal rates, while premium renewal rates decreased for workers’ compensation.

The Ivans Index tracks premium rate renewal change for the most placed commercial lines of business in the insurance industry. It measures the premium difference year over year for a single consistent policy. The index is inclusive of more than 38,000 agencies and 700 carriers and MGAs.