Premium Increases Continued Across Most Commercial Lines in May

Year over year, nearly all lines of commercial insurance business except workers compensation experienced increases in average premium renewal rate in May, according to the IVANS Index, a regular premium renewal rate index compiled by the IVANS insurance exchange service.

Month over month, premium renewal rates increased in May for businessowners policy (BOP), general liability, commercial property, and workers compensation, IVANS reported. Average premium renewal rates decreased for commercial auto and umbrella.

Premium renewal rate changes by line of business in May include the following.

• Commercial Auto—The average premium renewal rate was 5.03 percent, down from 5.20 percent in April.
• BOP—The average premium renewal rate increased 5.67 percent, up from 5.56 percent a month earlier.
• General Liability—The average premium renewal rate increase of 4.85 percent was up from 4.64 percent in April.
• Commercial Property—The average premium renewal rate increased 6.49 percent, up from a 6.05 percent increase the prior month.
• Umbrella—The average premium renewal rate increased 5.12 percent, down from a 5.17 percent increase in April.
• Workers Compensation—The average premium renewal rate decreased 0.84 percent, up from a 0.91 percent decrease in April.

Released on a monthly basis, the IVANS Index analyzes more than 120 million data transactions to measure the premium renewal rate change year over year across the US insurance market.