Rates

2024 is likely to be another challenging year for the industry, and commercial in particular, though improvement in personal lines may soften the blow.

The broker said over-placement on some deals was a positive sign for brokers, though reinsurance capacity is still very tight in some areas.

Reinsurers are making some adjustments to secure target signings but appetite to grow is finely balanced.

Carriers aren’t calling off their retreat from the market until tangible, actionable regulations emerge from commissioner Lara’s camp, sources told this publication.

The need to recognize adverse development in the back book is the most plausible culprit for market behavior, and an escalation of rhetoric.

Cooling CPI metrics and improving loss ratios indicate a positive shift for the personal auto industry, but results are not yet back to where they need to be.

The 2024 budget increases net operating expenses to $40.2mn, up from $35.2mn in the 2023 budget.

Anticipations of a tug-of-war around a ‘flat to slightly up’ pricing renewal have indeed come to fruition.

Personal auto carriers risk falling behind in the battle between loss costs and approved rate declines, while homeowners carriers’ double-digit filings might not be enough to keep up.

The executive expects the carrier to write “a bit more” property cat business in the coming renewals as it manages the exposure of its entire book.

Of the major commercial lines of business tracked by Ivans, all experienced increases in premium renewal rate changes except commercial property and general liability.

The state is already experiencing affordability challenges, and regulators are concerned that an availability crisis is brewing.