Look to Caitlin-Morgan as 2012 Sees Pricing Firming Up
There’s a lot of talk and renewal reports out there on whether the industry is experiencing a hard market after a year of catastrophic losses. The consensus for the most part is that we’re not seeing what we consider a traditional hard market (as we did after Katrina where rates went up 50% overnight in the property cat market), but rather a modest increase, depending on the line of coverage, ending seven years of premium decline.
For example, Workers Compensation is experiencing a rate increase. Among the 38 states directly administered by NCCI, there were requests for modest rate increases in 19 of those states. Private carriers are also increasing rates after experiencing poor underwriting performance and a decline in premium due to payroll shrinkage during an economic downturn. MarketScout’s November Barometer showed that Workers Comp had an increase of about 2%, as did Commercial Property. General Liability, Commercial Auto, and Business Interruption experienced a 1% increase, while Inland Marine, D&O, and Professional Liability remained flat.
At Caitlin-Morgan, we are committed to helping you help your clients keep their premiums under control. When it comes to Workers Comp, for example, we offer a number of alternative solutions that can help with rising premiums, including multiple A-rated carriers to get the best product at the right price, strong risk management programs to reduce losses, large deductible programs to offset costs, and self-insurance and captives for those clients looking to gain more control over their insurance program. Give us a call at 877.226.1027 to discuss your clients’ needs.