Premiums in the commercial property and casualty insurance market rose 5.1% in Q3 2024, nearly matching the 5.2% increase in Q2, based on The Council of Insurance Agents & Brokers’ (CIAB) quarterly survey. This marks the 28th straight quarter of premium growth across all account sizes.
Small accounts saw the smallest rise, averaging 4.4%, as heightened competition among carriers targeting small businesses likely contributed to the moderation compared to medium and large accounts.
Premium increases showed signs of slowing in most lines of business, except for umbrella. Across the five major lines—commercial auto, commercial property, workers compensation, general liability, and umbrella—the average increase in Q3 stood at 5.7%, consistent with 5.6% in Q2.
Umbrella premiums rose sharply, averaging 8.6%, the highest among all lines and a significant jump from Q2’s 7.2%. Meanwhile, some lines experienced premium declines.
Directors & Officers insurance premiums dropped the most at -1.9%, followed by cyber at -1.5% and workers compensation at -1.4%.
Gen Re linked rising umbrella claim frequency and severity between 2020 and 2022 to increased litigation and nuclear verdicts, driving higher premium rates.
Statutory underwriting performance in the U.S. property and casualty insurance industry saw strong revenue growth, a return to underwriting profits, and increased investment earnings in 2024. This combination drove statutory operating earnings to record levels, according to Fitch Ratings report. Beinsure analyzed the report and highlighted the key points.
Barring substantial natural catastrophe losses, the industry is on track for similar or slightly improved full-year combined ratios and returns on surplus compared to the 9M 2024.
U.S. P&C insurers achieved a strong statutory underwriting profit year-over-year in the Q3 2024, driven by lower winter storm losses and a recovery in personal auto results.
