Rates

Inside P&C’s news team runs you through the key highlights of the week.

Inside P&C’s morning summary of the key stories to get you up to speed fast.

Most lines continued to record price increases, with global rates being propelled largely by rising rates in property insurance. 

Chubb earnings reveal strategic expansion in Asia and pricing outpacing exposure.

Pricing in NA commercial P&C increased 11.2%, including changes in rate and exposure of 6.4% and 4.5% respectively, while loss cost trends rose 6.7%.

An uptick in financial markets activity could increase demand, but there is also significant risk which currently isn’t priced into the market.

D&O (Inside P&C Daily lead story): There is hope that public D&O rates could stabilize in the second half of the year following a tough end to 2022 and an ongoing slump in Q1. Significant discounts granted in 2022 are unlikely to be repeated, and there are ongoing concerns around both economic and social inflation, sources said. In the meantime, rates remain pressured from ample capacity and muted demand as established providers and incumbents drawn to the hard market of past years compete for relatively stagnant demand. The collapse of SVB, while a shock, wasn’t the inflection point for D&O that some might have expected.

One question in the community is whether nuclear verdicts this year will spark a re-acceleration of rates, especially in the lead excess layers.

Inside P&C’s morning summary of the key stories to get you up to speed fast.

Management was speaking after RLI reported a Q1 combined ratio of 77.9% for Q1 2023, unchanged compared to the prior-year quarter, as top line growth accelerated sequentially to 15.6%.

Primary insurance rate increases were 10% for property in Q1 compared to 7% in Q4.

Mark Cloutier set out Aspen’s plans for top-line 2023 growth in the range of 10%, and a continued strategy of pursuing rate rather than exposure growth in property cat.