Posted on 11 Jul 2012 by Neilson
The composite rate for property and casualty placements in the United States held steady at plus 4 percent for June 2012.
According to Richard Kerr, CEO of MarketScout, "We did record rate moderation for workers’ compensation accounts from plus 5 percent in May to plus 4 percent in June. The market for workers’ compensation is ‘bumpy’ as insurers try to settle in at appropriate pricing. Accounts with class codes related to high hazard exposures are being assessed considerable rate increases of plus 7 percent to plus 15 percent. Traditional ‘main street’ workers’ compensation accounts are renewing as expiring to plus 2 percent."
MarketScout data shows contracting and habitational pricing increasing from plus 4 to plus 5 percent. Service contractors increased from plus 3 to plus 4 percent while public entities actually decreased from plus 3 to plus 1 percent.
The National Alliance for Insurance Education and Research conducted pricing surveys used in MarketScout's analysis of market conditions. These surveys help to further corroborate MarketScout's actual findings, mathematically driven by new and renewal placements across the United States.