Commercial insurance rates dropped in the third quarter of 2015, according to a survey released Thursday by Council of Insurance Agents & Brokers.
The CIAB's quarterly “Commercial P/C Index Survey” found that rates decreased across all lines surveyed by an average of 3.1%. The largest accounts experienced the largest decreases at 4.1%, with medium sized accounts enjoying a 3.8% drop and smallest accounts reporting 1.4% decrease.
The extent of decreases varied by line. For commercial property, rates fell an average of 5.2%. Commercial automobile rates, however, decreased by an average of only 1.3%.
“We continued to hear from our members that this is a buyer's market,” said CIAB President and CEO Ken A. Crerar in a statement accompanying the survey results. “Competition was fierce, and carriers were willing to give on rate in order to retain good accounts”.
Moody's Investors Service Inc. said that the outlook for property/casualty reinsurance pricing over the next 12 to 18 months is bleak, reports Artemis.bm.