Premium increase moderation continued this quarter, with premiums across all account sizes increasing by 7.7%, slightly up from the previous quarter’s 7.0%.
Moderation was clearer when looking at individual commercial lines. All lines recorded premium increases flat or down from the previous quarter, with the single exception of commercial auto. Workers compensation and D&O premiums decreased by an average of -1.8% and -0.8%, respectively.
Commercial auto premiums increased by an average of 9.8%, compared to 7.3% last quarter. Experts suggest high vehicle repair costs due to inflation and supply chain woes, the increase in nuclear verdicts for auto accidents and a shortage of experienced truck drivers have all contributed to issues with the line.