Nearly All Commercial Insurance Lines Saw Premium Increases in January
February 10, 2023
Year over year, all lines of commercial insurance except workers compensation experienced increases in their premium renewal rate in January 2023, according to the Ivans Index, a regular premium renewal rate index compiled by the Ivans insurance exchange service.
Business owners policy (BOP) and commercial property continued to see the highest premium renewal rate increases year over year, Ivans said. Month over month, commercial property and umbrella saw an increase in their premium renewal rate changes, while commercial auto, BOP, general liability, and workers compensation experienced decreases, according to Ivans.
Premium renewal rate changes by the line of business during January include the following.
- Commercial auto. The average premium renewal rate increase for commercial auto insurance was 5.84 percent in January, down from 6.13 percent in December.
- BOP. The average BOP premium renewal rate increased by 6.87 percent in January, down from a 7.23 percent increase a month earlier.
- General liability. The average premium renewal rate for general liability increased by 5.34 percent in January, down from 5.71 percent the prior month.
- Commercial property. Commercial property insurance saw an 8.67 percent increase in average premium renewal rate in January, up from 8.38 percent in December.
- Umbrella. The average premium renewal rate for umbrella coverage increased by 5.59 percent in January, up from 5.35 percent a month earlier.
- Workers compensation. The average premium renewal rate for workers compensation decreased by 1.85 percent in January, down from 1.66 percent in December.
The monthly Ivans Index is based on the analysis of data from more than 120 million commercial insurance transactions.
February 10, 2023