US commercial insurance price hikes moderated at Q2: Willis Towers Watson
US commercial insurance prices increased again during the second quarter of 2021, according to Willis Towers Watson’s Commercial Lines Insurance Pricing Survey (CLIPS).
The survey compared prices charged on policies underwritten during the second quarter of 2021 to those charged for the same coverage and quarter in 2020 and found the aggregate commercial price change was just above 6 percent.
Data for nearly all lines indicated significant price increases in the second quarter.
Excess/umbrella showed the largest price increases, while commercial auto, property, and directors’ and officers’ liability increases were near or above double digits.
Workers compensation continued to indicate a slight price reduction, in contrast to nearly all other surveyed lines. Reported price changes for account sizes were all below double-digit increases except for specialty lines.
Yi Jing, director of Insurance Consulting and Technology at Willis Towers Watson, said: “The rate of price increases has moderated again in the second quarter while still elevated versus historical norms. This is largely driven by significantly lower price increases for excess/umbrella and directors’ and officers’ liability than previous quarters.”
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