The pace of public directors and officers liability insurance price decreases again slowed in the fourth quarter of 2023, with the average price per $1 million in limits dropping by 17.5%, according to Aon’s Quarterly D&O Pricing Index.
Tag: D&O rates
D&O, Cyber Rates Dropped in Q2, and Commercial Auto Average Increases Ticked Back Up
Stabilization of some parts of the commercial property/casualty insurance market continued apace in the second quarter of 2023, with an “oversupply” of capacity in the directors and officers liability sector, lower rates in cyber, and chance to save some money in the workers compensation market, according to a market update from Woodruff Sawyer.
Forecast: Commercial Insurance Rates to Climb by Nearly 12% in 2021
The commercial insurance rate hikes that have been ongoing since 2017 are expected to continue into this year, with double-digit increases anticipated for most lines of insurance, according to a new report. The survey of insurance executives by Alera Group Inc. forecasts that commercial rates will increase across all lines nationwide by an average of… Continue reading Forecast: Commercial Insurance Rates to Climb by Nearly 12% in 2021
Market Conditions and COVID-19 Continued to Impact All Lines of Business in Q4 2020: CIAB
Premium prices continued to climb in Q4 2020, though at a slightly slower pace than in previous quarters, according to The Council of Insurance Agents & Brokers’ Q4 Commercial P/C Market Survey. Prices rose across all-sized accounts by an average of 10.7%, down slightly from 11.7% in Q3 2020. The most recent quarter was also… Continue reading Market Conditions and COVID-19 Continued to Impact All Lines of Business in Q4 2020: CIAB
Companies Are Paying a Lot More to Insure their Directors and Officers
Many companies in the U.S. and Australia are paying steeply higher rates for insurance that covers costs for directors and top executives when they or the company are sued. Driving the increases is the rise in shareholder litigation, both in the number of cases and size of jury awards and settlements, brokers said. Another connected… Continue reading Companies Are Paying a Lot More to Insure their Directors and Officers
Musk’s Maverick Lawsuit Shield Is Sign of Skyrocketing D&O Rates
When Elon Musk said in April he was dropping the insurance policy that protects Tesla Inc.’s board from shareholder lawsuits, it got Skip McBride’s attention. To McBride, who used to manage law firm Bracewell LLP’s malpractice exposure, Musk’s decision to insure Tesla’s directors out of his own pocket was a first—and a risky move. But… Continue reading Musk’s Maverick Lawsuit Shield Is Sign of Skyrocketing D&O Rates
COVID-19 Pandemic May Accelerate Much-Needed Changes in Struggling D&O Market: AM Best
AM Best expects the U.S. directors and officers (D&O) insurance segment to undergo radical changes based on current financial results and the unprecedented turbulence created by the COVID-19 pandemic. In its Best’s Market Segment Report, “Accelerating Trends, Unprecedented Turmoil Could Lead to Seismic Change for D&O Industry,” AM Best states that the level of uncertainty… Continue reading COVID-19 Pandemic May Accelerate Much-Needed Changes in Struggling D&O Market: AM Best
D&O Rates Improve As Carriers Push to Restore Profitability: Fitch Report
Premium pricing has improved significantly for directors and officers (D&O) liability in 2019 as carriers work to restore profitability, according to analysts at Fitch Ratings. Fitch noted that D&O liability business has seen several years of weaker performance, driven by flat premium growth and less favourable claims trends in a shifting tort environment. However, reductions… Continue reading D&O Rates Improve As Carriers Push to Restore Profitability: Fitch Report