April’s increase was a percent lower than March’s rates which saw a four percent increase
“April traditionally is a good month for personal lines insurers because the spring storms have not yet hit, thereby avoiding tornado and hail claims, and flooding usually occurs a bit later in the year. Normally there are no hurricanes or brush fires; however, there was a small brush fire underway a few days ago which has since diminished. So, absent an earthquake, April is typically a pretty good month. Perhaps the psychology of lower filed claims and the time passing since Super Storm Sandy had some impact on insurers pricing.”
Says CEO Richard Kerr, in MarketScout’s monthly look at the trends in the U.S. Personal Lines Marketplace. For homes valued under $1,000,000, rates were up three percent this month, while homeowners rates for $1,000,000 plus properties rose plus four percent. Automobile and Personal Articles, such as jewelry, fine art and wine collections, also both rose three percent.
Summary of the April 2013 Personal Lines Rates
|Personal Lines||Rate Increase|
|Homeowners under $1,000,000 value||Up 3%|
|Homeowners over $1,000,000 value||Up 4%|
|Personal Articles||Up 3%|