Average commercial insurance rates fell 4% globally in the second quarter but were flat in the United States, Marsh LLC said Thursday.
Casualty rates continued to increase, while property, financial and professional lines and cyber liability fell because of ongoing insurer competition, the broker said in its latest global insurance market index.
Globally, property rates fell 7% and financial and professional lines fell 4%, while casualty rates increased 4%, led by a 9% jump in the U.S.
Excluding workers compensation, casualty rates increased 12% in the U.S., Marsh said.
Auto liability rates continued to be affected by large jury verdicts and escalating damage repair costs. General liability rates were flat, but umbrella/excess liability rates jumped 18% in the quarter, compared with 16% in the first quarter.
Limits often were reduced, with minimal new capacity, adding to the impact of last year’s closure of several London-based excess insurers, Marsh said.
U.S. property rates declined 9% in the quarter, the same as the first quarter. Some insurers offered coverage enhancements including higher limits, revised definitions and lower deductibles, according to the report.
Financial and professional lines rates were flat after 11 consecutive quarters of declines. Cyber rates fell 3%, the ninth straight quarterly reduction, Marsh said.