U.S. insurance pricing “flat” in February: MarketScout

Property & casualty insurance pricing was flat in February, according to data compiled by Dallas-based electronic insurance exchange MarketScout.MarketScout’s survey, which involves its national distribution system of more than 50,000 agents, found the composite renewal rate “as expiring” in February. “This is the first time in over four years that renewals are being placed with a composite average of a 0% rate increase,” notes MarketScout CEO Richard K. Kerr. He adds that an independent survey of 1,100 agents conducted by the National Alliance for Insurance Education and Research supports the “MarketScout barometer” reading of 0% for February.Included in the composite rate, MarketScout finds an increase in rates for “tougher” general liability and excess classes such as products liability, while directors’ and officers’ (D&O) continues to decrease modestly “mostly as a correction on the massive increases of prior years”. Of note, workers’ compensation rates indicated softening. Rate decreases are most aggressive for the largest accounts, while manufacturing, service and public entity sectors are seeing flat renewals. Increases continue to be seen for the habitational and energy sectors.