A survey recently conducted by Willis Towers Watson found that U.S. commercial insurance prices were almost flat for the second quarter of 2016.
The report, dubbed the Commercial Lines Insurance Pricing Survey (CLIPS), involved comparing prices charged on policies underwritten during the second quarter to those written for the same period last year.
According to the report, price changes were comparable with those reported in the first quarter for most commercial lines. Just as they did during the previous quarter, the workers compensation, commercial property, and directors and officers lines posted price decreases. On the other hand, the commercial auto line saw meaningful price increases.
The report also discovered that price increases were small in aggregate for both large accounts and the middle market for the seventh consecutive quarter. Similarly, price changes for small accounts were small like previous quarters.
“The CLIPS results continue to highlight the different realities of the commercial market,” said Willis Towers Watson Americas Property & Casualty Insurance practice director Alejandra Nolibos. “Yes, the overall result is a modest increase in prices. But that simple measure masks opposing and persistent trends by line worth paying attention to.”
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