According to the MarketScout Market Barometer, the composite ra
te for U.S. personal lines increased in the second quarter to 4.6%.
U.S. personal lines rose an average 4.9% during the firth quarter.
Dallas-based MarketScout, a division of Novatae Risk Group, said h
igh net worth homes value
d over $1 million saw the largest hikes of 6.7% during the second quarter.
“We have just n
ow entered hurricane season, so for those owning homes in coastal areas
, expect homeowners’ rates to go up, not down,” said Richard Kerr, CEO
of Novatae Risk Group, in a statement. “Agents should advise their cli
ents in coastal areas to renew their insurance between January and Mar
ch, as rates are often much more favorable during those months.”
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Personal auto insurance rates increased 5.7% on average in Q2, added MarketScout.
Switching to commercial lines, the composite rate increased 2.8% in Q
2, remaining fairly steady from the average increase of 3% during the first three months of the year.
Like Q1, commercial auto rates went up 6.7% to lead all coverag
e classes during Q2. Umbrella and excess liability came in at up 5%, an imp
ovement over average increases of 6.7% in Q1. General liability saw rat
es go up an average 3.7% in Q2 compared to up 2.3% in Q1.
Commercial property was up 3.6% in Q2—the same result as Q1. Kerr said the distribution and underwriting com
pany is “seeing steady improvement in property insurance rates, which is en
couraging for insurance buyers.”