Average D&O price per million falls 9.2% in fourth quarter

The average price per million of directors and officers liability insurance fell 9.2% for 2017’s fourth quarter, compared with the same period last year, according to an Aon Risk Solutions survey issued Thursday.

This compares with the 5.9% increase reported for the third quarter.

According to the brokerage’s quarterly D&O price index, Aon clients that renewed coverage in both the fourth quarter of 2017 and the fourth quarter of 2016 saw a 2.8% decrease in the price per million of D&O limits, which compares with a 3% decrease for the third quarter.

A total of 35% of primary policies renewing with the same limit and deductibles experienced a price decrease, while 22% reported an increase.

For the year, Aon clients experienced an 8.3% decrease in price per million compared to 2016, and the price per million for clients renewing in both 2017 and 2016 decreased 4.6%. About 40% of primary polices renewing with the same limit and deductibles saw a price decrease, while 24% had a price increase.