IVANS Releases Q3 IVANS Index Results
Premium renewal rate up year-over-year across nearly all major commercial product lines; Workers’ Compensation remains in negative territory for the year
Tampa, FL – Oct. 3, 2017 – IVANS, a division of Applied Systems, today announced the third quarter results of the IVANS Index, the industry’s premium renewal rate index. Q3 results showed variable premium renewal rate change average across Business Owner’s Policy, Commercial Property, and Workers’ Compensation compared to Q2. Workers’ Compensation remains the only line of business experiencing negative premium renewal rate change.
Premium renewal rate change by line of business for Q3 includes:
- Commercial Auto: Premium renewal rate change averaged 3.00% for the quarter (up from Q2), ending at 2.55% for September.
- Business Owner’s Policy (BOP): Quarter premium renewal rate change averaged 3.79%, representing a decrease over last quarter’s average of 4.21%. BOP premium renewal rate change finished the quarter at 3.87% in September.
- General Liability: Q3 premium renewal rate change experienced limited variability relative to Q2. The quarter premium renewal rate change low reached 1.68% in August and ended the quarter in September at 1.70%.
- Commercial Property: Q3 premium renewal rate change decreased quarter-over-quarter, with an average rate change of 2.48% as compared to 3.08% in Q2.
- Umbrella: Quarter premium renewal rate change averaged 1.47% vs. 0.94% in Q2.
- Workers’ Compensation: Premium renewal rate change dipped again in Q3, averaging at -1.18% as compared to -0.16% in Q2.
“Premium renewal rate change across the industry remained consistent for the quarter, with greater variability experienced by Commercial Property and Workers’ Compensation insurance quarter-over-quarter,” said Matt Foran, vice president of IVANS Markets. “IVANS Index continues to demonstrate positive momentum for the market and highlight the most profitable opportunities for the industry.”
Released on a monthly basis, IVANS Index is a data-driven report of current conditions and trends for premium rate renewal change of the most placed commercial lines of business in the insurance industry. Analyzing more than 120 million data transactions, the IVANS Index premium renewal rate change measures the premium difference year over year for a single consistent policy. Inclusive of more than 30,000 agencies and 380 insurers and MGAs, the IVANS Index is reflective of the premium rate change trends being experienced by all agencies and insurers across the U.S. insurance market. IVANS Index is available to agencies and insurers as part of Market Insights at markets.ivansinsurance.com.
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IVANS, a division of Applied Systems, is the property and casualty insurance industry’s exchange connecting insurers, MGAs, agencies, and the insured. IVANS cloud-based software automates the distribution and servicing of insurance products. For more than 30 years, IVANS innovation and expertise has connected 30,000 independent insurance agencies and 380 MGA and insurer partners to enable millions of people to safeguard and protect what matters most in people’s lives.