Average Premiums Keep Rising for Most Commercial Lines: IVANS

Ivan’s Index for the third quarter found the average premium renewal rate increased for all major commercial lines of business except workers’ compensation.

Compared to the same period a year ago, Q3 2023 average renewal rate increases were:

• Commercial Auto – 7% (6.5% in Q3 2022)
• Business Owner’s Policy – 7.74% (7.56% in Q3 2022)
• General Liability – 5.43% (5.21% in Q3 2022)
• Commercial Property – 10.08% (9.77% in Q3 2022)
• Umbrella – 5.29% (5.12% in Q3 2022)

Workers’ compensation was the only line of business to see a decrease, with a renewal rate decrease of about 1% compared to a decrease of 1.1% a year ago.

Ivans Index is a data-driven report of current conditions and trends for premium renewal rate change of the most placed commercial lines of business in the insurance industry. To derive the change in cost, Ivans uses policies that have the same insured, insurer, product type, policy number, expiration date, effective date and producing agency.