With the exception of Workers’ Compensation, all lines of commercial insurance business experienced an increase in average premium renewal rate during February 2021, when compared with the previous year, according to the latest results of the IVANS Index.
IVANS, a division of Applied Systems, reports that month over month, premium renewal rates for lines such as BOP, General Liability, and Commercial Property experienced increases.
At the same time, the premium renewal rate index finds that month over month, Commercial Auto, Umbrella and Workers’ Comp saw declines in renewal rates.
Commercial Auto produced a rate change of 4.38% in February against 4.45% in January, as BOP business recorded a change of 4.59% against 4.46% in January.
General Liability moved from an average rate change of 3.69% in January to 3.93% in February, as Commercial Property increased from 5.63% in January to 6.13% in February.
The average rate change for Umbrella lines fell slightly from the 4.29% reported in January to 4.25% in February. And, finally, Workers’ Comp deteriorated further from -1.02% in January to -1.47% in February.
Kathy Hrach, vice president of Product Management, IVANS Insurance Services, commented: “Economic trends continue to positively impact premium renewal rates year over year, except Workers’ Compensation which stayed consistently negative.
“Looking at 2021 to date, Commercial Property experienced the most significant increase in premium renewal rate in February, while General Liability continues its steadily increasing trend.”