Third-quarter 2022 marked the 20th consecutive quarter of increased premiums for commercial property/casualty, according to the latest report from the Council of Insurance Agents and Brokers (CIAB).
The average premium increase was 7.0 percent across all lines of business in Q3 2022, up from 6.1 percent in the second quarter. Premium pricing continued to moderate for most lines of business, with a few exceptions.
Commercial property saw premiums rise an average 11.2 percent in Q3 2022 compared to 8.3 percent in Q2, driven by inflation and natural catastrophes.
Commercial auto premiums were up 7.6 percent in the third quarter compared to 7.2 percent in Q2, thanks to increased repair costs and auto claims.
Cyber premiums increased 20.3 percent in Q3 2022 compared to 26.8 percent in the previous quarter. Demand for cyber coverage remained high, with 78 percent of respondents reporting that they saw an increase.
Workers compensation was the only line to see a decrease in Q3 2022, with premiums coming in at -0.7 percent compared to -1.2 percent in the second quarter.
The vast majority (95 percent) of brokers agreed inflation was influencing market trends in the third quarter, especially in commercial property. Inflation increased construction costs, which led to increased property valuations, said CIAB.
Source: Council of Insurance Agents and Brokers