Commercial insurance prices rise nearly 9% in third quarter

Average commercial property/casualty premiums rose 8.9% in the third quarter, a slightly higher clip than in the second quarter, according to the latest pricing survey from the Council of Insurance Agents & Brokers.

Prices increased in all lines, except workers compensation, where after more than a year of slight increases, rates fell by 0.3%.

The highest increase was for cyber liability insurance, where prices surged 27.6%, the report said.

In other major lines, umbrella rates rose 16.9% in the quarter, directors and officers liability insurance rates were up 13.6%, property insurance rates were up 10.3%, commercial auto rates rose 7.4% and general liability rates were up 6.3%.

Large accounts saw the biggest increases at 10.4%, while prices for medium accounts rose 10.1% and rates for small accounts were up 6.2%, the Council said.

While average rate increases were higher than the second quarter, when rates rose 8.3%, they were lower than increases in the third quarter of 2020, when rates rose 11.7%, according to the Council.