US Commercial Insurance Price Growth Slows to 0.5 Percent

US commercial insurance prices increased 0.5 percent in the second quarter of 2026, as pricing continued to vary by line of business and increases moderated across much of the market, according to Willis Towers Watson's (WTW's) Commercial Lines Insurance Pricing Survey (CLIPS).

The survey compares prices charged for policies underwritten during the second quarter of 2026 with prices for the same coverage a year earlier. The latest increase represents a substantial slowdown from recent years. WTW's historical data show aggregate commercial insurance price increases approached 10 percent during portions of 2020 before declining. Price growth fell below 5 percent in the fourth quarter of 2022, rose above 6 percent in the second quarter of 2023, and remained around 6 percent through the first quarter of 2025 before falling sharply. The chart accompanying WTW's second-quarter update shows the long-term pricing cycle from 2003 through the second quarter of 2026.

Most lines surveyed continued to report price increases in the second quarter, with workers compensation, commercial property, and cyber as the exceptions. Price changes for most lines were similar to or lower than those reported in the previous quarter.

Excess and umbrella liability continued to record the largest price increases, although the increase dropped into the high-single-digit range. Commercial auto price increases remained below double digits.

Commercial property recorded the largest price decrease among the surveyed lines. Directors and officers liability, meanwhile, posted a small price increase after several quarters of price decreases.

Pricing trends also differed by account size. Small and mid-market accounts reported slightly lower price increases than in the previous quarter. Large accounts recorded their first price decrease since the end of 2017.

Specialty lines continued to report a small overall price increase, driven by an increase in professional liability pricing along with the small increase in directors and officers liability.

WTW's longer-term pricing data underscore the shift in market conditions. Commercial insurance pricing has moved through several distinct cycles since 2003, including periods of aggregate price decreases and the sharp increases recorded around 2020. The second quarter 2026 reading brings aggregate growth close to flat after several years of more substantial increases.