Market Continues To Firm in Most Regions of the Globe

According to Marsh's Global Insurance Market Index, the third quarter of 2019 signifies the eighth consecutive quarter of global commercial insurance pricing increases. The report's key findings include the following.

• Average commercial insurance pricing increased 8 percent in the third quarter of 2019, the largest increase since the survey began in 2012 and the eighth consecutive quarter of average price increases.
• Globally, on average, pricing for property risks increased by 10 percent, financial and professional lines rose by nearly 14 percent, and casualty increased by 1 percent.
• Composite pricing in the third quarter increased in all geographic regions for the fourth consecutive quarter, largely driven by rates in directors and officers (D&O) coverage and property.
• For the fourth consecutive quarter, all regions reported composite pricing increases. The Pacific region had the largest composite pricing increase in the index (19 percent), a quarterly trend that has continued for almost 3 years. Pacific composite pricing was driven by increases in D&O rates, as well as increases in property rates.
• The United States, United Kingdom, and Asia all reported average pricing increases of 5 percent or higher.

Commenting on the findings, Dean Klisura, president, global placement at Marsh, said, "Global insurance pricing increased 8 percent in Q3 2019, as the market continues to firm in most regions. Global pricing has now increased every quarter for nearly 2 years, and market capacity is starting to show signs of tightening in certain geographies and lines of business."