D&O liability premiums fell an average of 7.29% in the second quarter compared with last year, while workers compensation premiums fell nearly 2% and general liability premiums fell 1.16%, according to the survey of current renewal prices reported by risk managers.
While the survey found no change in premiums for property coverage, 70% of the respondents reported rate decreases, the survey said.
“The good news for risk managers is that property insurance has turned a corner,” Joseph Restoule, RIMS secretary and a member of the board of directors, said in a statement. “Although there was no change on average, more than two-thirds of…respondents had premium decreases on their property programs this past quarter, including companies with coastal exposures.”
But as David Bradford, editor-in-chief of “Advisen”, said in the statement, forecasters have predicted a worse-than-average year for hurricanes. “Severe catastrophe losses could not only send property premiums shooting higher, but could also cause the overall soft market to come to a halt,” he said.
The RIMS Benchmark Survey is produced by Advisen, Ltd., which collects and analyzes the data and provides the technology infrastructure for the survey's online services.
The Risk and Insurance Management Society, Inc. (RIMS) is a not-for-profit organization dedicated to advancing the practice of risk management, a professional discipline that protects physical, financial and human resources. Founded in 1950, RIMS represents nearly 4,000 industrial, service, nonprofit, charitable and governmental entities. The Society serves more than 10,000 risk management professionals around the world.
Advisen Ltd. provides insight into underwriting, marketing and purchasing commercial insurance. Advisen's web-based workstation incorporates real-time analytics and research on over 1.5 million companies and 70 industries. Advisen currently serves nearly 350 leading commercial insurers, insurance brokers, risk management departments of major corporations, and other related organizations. Proprietary offerings of the Advisen service include Benchmarking, Custom Templates for Company Work-ups, Company and Industry Research, Loss Analysis, Management Portfolio Analysis and Policy Comparisons.