Marsh Reveals How Global Commercial Insurance Rates Are Rising

Breaking down the Index’s findings by region, Marsh revealed:

• The United States experienced the slowest average price increase, with compound price increases of 5% (down from 10% in Q2 2022).
• 7% in the UK (down from 11% in Q2 2022), 5% in the Pacific (down from 7% in Q2 2022) and 2% in Asia (down from 3% in Q2 2022) ) rose. .
• Meanwhile, prices in Latin America and the Caribbean rose by 5% (on par with Q2 2022) and continental Europe by 6% (on par with the previous two quarters).

Among other findings, the study found global non-life insurance pricing to rise by an average of 6% in the third quarter of 2022 (the same level as the previous quarter), and non-life insurance pricing to rise by an average of 4%. an increase (compared to 6% in the previous quarter) was noted.

For the first time since its inception, the Marsh Index separates cyber data from financial and professional data to announce global cyber insurance pricing. Globally, cyber insurance pricing increased 53% in Q3 2022. Growth remained moderate in the largest cyber insurance market, with pricing up 48% in the US and 66% in the UK. previous quarter.

Marsh said the inclusion of cyber means that for the first time since 2017, overall prices for financial and professional sectors fell 1% in the third quarter compared to a 16% increase in the second quarter. (numbers including cyber). The quarter’s results were driven by declines in the US, UK and Australia and moderate growth elsewhere.

Meanwhile, the index highlights that insurers continue to focus on valuations at renewal due to inflation concerns.

Lucy Clarke, President of Marsh Specialties and Global Placements at Marsh, said of the report: Ongoing inflation and geopolitical instability are impacting all sectors, and we expect even tougher conditions in the already tense real estate catastrophe market following Hurricane Ian.

“We work closely with our clients to get the best possible outcome from the market while exploring all options available to assess and address risks, including alternative and captive solutions. increase.”