The overall composite rates for commercial insurance coverage rose a mere 1.5% last month
Like last month’s personal insurance rates trends, the composite rate for commercial insurance only a rose an average of 1.5 percent in September 2014. While rates barely moved last month, MarketScout says nevertheless the outlook is that trends may continue to decrease rather than increase.
“We are measuring changes with a high degree of sensitivity because the monthly changes are ever so slight. However, rates clearly continue to drift downward,” says Richard Kerr, CEO of MarketScout while commenting on the industries profiled in the commercial rate trends.
According to MarketScout, Contractors paid the highest increase in rates with year on year rates up plus four percent. Transportation was a close second with rates up plus three percent followed by Service Accounts at plus two percent. Finally, Manufacturing, Habitational, Public Entity and Energy Risks all measured a plus one percent increase.
Looking at rate trends from a line of coverage perspective, Inland Marine, Professional Liability, Fiduciary, Crime, Surety and Business Interruption coverages also all increased by a percentage point while Commercial Property, BOP, General Liability, Auto, Umbrella, Worker’s Compensation, D&O, and EPLI rose two percent.
An in-depth look at the numbers…
|By Coverage Class|
|Commercial Property||Up 2%|
|Business Interruption||Up 1%|
|Inland Marine||Up 1%|
|General Liability||Up 2%|
|Commercial Auto||Up 2%|
|Workers’ Compensation||Up 2%|
|Professional Liability||Up 1%|
|D&O Liability||Up 2%|
|By Account Size|
|Small Accounts: Up to $25,000||Up 3%|
|Medium Accounts: $25,001 – $250,000||Up 2%|
|Large Accounts: $250,001 – $1 million||Up 1%|
|Jumbo Accounts: Over $1 million||Up 0%|
|By Industry Class|
|Public Entity||Up 1%|