According to current statistical analysis from the insurance distribution and underwriting company MarketScout, personal lines coverage rates moderated slightly in the first quarter of 2023.
Homeowners and personal articles insurance on a composite basis were down slightly in the first quarter, according to MarketScout.
Auto insurance prices increased to plus-6.3% in the first quarter of 2022, compared to plus-5% in the fourth quarter of 2022.
“The rating environment for personal lines is tracking with Q4 2022, which is to be expected,” Richard Kerr, CEO of Novatae Risk Group, indicated.
“The real action in personal lines comes during wind and wildfire season,” Kerr explains. “However, even now, catastrophe-vulnerable high-value property owners are struggling to find coverage without significant rate increases and term restrictions such as higher deductibles and reduced coverage.”
Based on MarketScout research, homeowner’s lines under $1 million in value had a 5% rate increase, while lines exceeding $1 million experienced a 6% rate increase.
As previously stated, personal lines vehicle rates increased by 6.3% in Q1, while personal lines articles prices increased by 3.3%.