Rates for commercial insurance drop 1%: MarketScout

Commercial insurance rates declined an average of 1% during September, Dallas-based MarketScout said Tuesday.

Commercial property coverage declined 1% in September, but commercial auto increased 2%, according to the insurance distributor and underwriter that also owns an electronic insurance exchange.

Small accounts, defined by MarketScout as up to $25,000, and medium-size accounts up to $250,000 were flat in September as they were in August, MarketScout said in a statement.

Large accounts up to $1 million were down 1 % in September versus flat in August, MarketScout said.

Jumbo accounts greater than $1 million declined 4% in September compared with a 3% drop in August.

Rates declined 1% for all industry groups, except transportation, which increased 2%, and manufacturing, which was flat.

For the rest of this year, “we expect pricing on most lines to be adjusted downward with a few exceptions such as commercial automobile/transportation risks and accounts with poor loss experience or other underwriting concerns,” MarketScout CEO Richard Kerr said in the statement.