Arlington, VA – U.S. commercial insurance prices were nearly flat during the second quarter of 2016, according to the most recent Commercial Lines Insurance Pricing Survey (CLIPS). Willis Towers Watson (NASDAQ: WLTW), a leading global advisory, broking and solutions company, conducted the survey, which compared prices charged on policies underwritten during the second quarter of 2016 to those charged for the same coverage during the equivalent quarter last year.
For most commercial lines, price changes were comparable with those reported in the first quarter. Also consistent with the previous quarter, three lines (workers compensation, commercial property, and directors and officers) reported price decreases. Conversely, meaningful price increases were once again reported for commercial auto. Most other lines generally showed decelerating price increases in the low single digits. For the seventh consecutive quarter, price increases were small in aggregate for both large accounts and the middle market. Also like prior quarters, price changes for small accounts were small.
“The CLIPS results continue to highlight the different realities of the commercial market,” said Alejandra Nolibos, director in Willis Towers Watson’s Americas Property & Casualty Insurance practice. “Yes, the overall result is a modest increase in prices. But that simple measure masks opposing and persistent trends by line worth paying attention to.”
Click here for the Commercial Lines Insurance Pricing Survey (CLIPS) Q2 2016
Source: Willis Towers Watson