Marsh has released its Global Insurance Market Index for the first quarter of 2019. The headline finding is that average commercial insurance prices increased 3% in Q1 2019, the largest increase since the survey began in 2012. Q1 2019 also represents the sixth consecutive quarter of average commercial insurance pricing increases.
The survey also shows that composite pricing in Q1 increased in all global regions for the second consecutive quarter, driven by rate change in property and directors and officers (D&O) coverages.
Regionally, Pacific had the largest price increases in the index (>10%), a trend that has continued for eight quarters. The UK and Continental Europe both reported average price increases of 2% or higher.
Globally, pricing for property risks increased by almost 5% on average, slightly above the rates recorded in the previous four quarters. Casualty prices declined nearly 1% on average, continuing a trend started in 2013.
Average pricing in financial and professional lines increased by almost 6%. All global regions experienced a rise, primarily driven by increases in D&O insurance.
Commenting on the findings, Dean Klisura, President, Global Placement at Marsh, said: "While 3% is the largest average increase in insurance pricing we have seen since the index began in 2012, market capacity remains strong in most products and geographies."
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