According to the Global Insurance Market Index published by insurance broker Marsh, global commercial insurance rates saw a decline of 1% in Q3 2024, marking the first quarterly decline since Q3 2017. The decline is attributed to increased competition among insurers in the global property market, continuing the moderating rate trend.
The Pacific and UK regions experienced the largest composite rate decreases at 6% and 5% respectively, while the US and the Latin America and Caribbean (LAC) region had the highest composite rate increases, both at 3%. Rates remained flat in Europe.
Other key findings of the report include:
- Property insurance rates globally fell 2%, with rates declining in the US, UK, Canada, Asia, Pacific, and the India, Middle East and Africa (IMEA) region.
- Casualty lines rates increased 6% globally, largely driven by concerns around large jury awards in US courts.
- Financial and professional lines rates decreased by 7% globally, with rate decreases recorded in every region.
- Cyber insurance rates decreased 6% globally, with decreases in every region.
Marsh President Pat Donnelly commented that the decline in global composite rate is a positive development for clients, but the recent devastating storms during the North American hurricane season are being closely watched for any impact on the markets.
Note: All percentages regarding rate movements are rounded to the nearest whole number for ease of reporting.
Related topics:
