US commercial P&C renewal rates accelerate modestly in July: Ivans
US commercial P&C insurance renewal rates accelerated modestly in July, including a rebound in renewal rates for commercial property after signs of slippage late in the second quarter.
Four of six measured lines saw chiefly mild acceleration versus annual growth rates seen in June, leaving only umbrella rates growing at levels palpably below what had been seen on average in the second quarter.
Commercial property renewal rates in the US rose at a 9.74% annual pace in July to recoup most of a lag seen in June. July's is the third highest rate of annual growth recorded in the current cycle, behind the April and May readings.
Commercial auto rates have been on a steadier light acceleration. July's 6.6% annual reading is a fractional gain on the prior month and the Q2 running average.
General liability, up 5.4% y/y, and umbrella policies, up 4.9%, are showing the greater volatility, both decelerating in July after much stronger prior month moves. While volatile in the Ivans monthly reading, renewal rate gains in July remain near the 12M averages seen for the two segments.
The Ivans Index, published monthly, measures the year over year for a single consistent policy based on data from more than 34,000 agencies and 450 insurers and MGAs across the US insurance market.
Workers comp renewed with rate down by 0.6%, the lowest rate of decline in just over a year.
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