The results of the latest Applied Rating Index by Applied Systems shows that average premiums for both Personal Auto and Personal Property lines increased in Canada year over year in the first quarter of 2023.
Quarter over quarter, premium rate change decreased for both Personal Auto and Personal Property compared to Q422.
According to Applied Systems, in Q123, Personal Auto premium rate change increased to 5.0% versus Q122. The Personal Auto premium rate change decreased to -2.2% versus Q422.
Meanwhile, in the quarter, Personal Property premium rate change increased to 5.1% versus Q122. Personal Property decreased to -0.1% versus Q4 2022.
Across Personal Auto, all provinces experienced an increased rate change year over year with Alberta, Ontario, Quebec, and the Atlantic Provinces seeing 6.6%, 3.0%, 10.4%, and 7.5% respectively.
And with Personal Property, Alberts, British Columbia, Ontario, the Atlantic Provinces, and Saskatchewan & Manitoba all experienced increased rate change year over year to 5.1%, 6.9%, 5.1%, 8.2% and 5.2% respectively.
“Year-over-year changes to premium renewal rates for both Personal Auto and Personal Property remain up, however quarter over quarter we’re seeing rates decrease,” said Steve Whitelaw, senior vice president and general manager, Applied Systems.
“While we have been in a harder market, we’ll continue to watch the renewal data as a leading indicator of potential shifts as insurers look to price against short and long term cost pressures.”
The Applied Rating Index is a data-driven report of current conditions and trends for Personal Auto and Personal Property (Homeowners) insurance premium rates.
Analyzing more than 1.3 billion quotes completed, the Applied Rating Index measures the increase or decrease in average premium rate trends across Canada.