Toronto, ONT., Aug. 09, 2023 (GLOBE NEWSWIRE) -- Applied Systems® today announced the second quarter 2023 results of the Applied Commercial Index™, the Canadian insurance industry’s premium rate index. Overall, rates saw an increase of 7.44% in Q2 2023, which is depressed relative to the rate increase of 8.95% in Q2 2022. Business & Professional Services, Construction, Retail Services and Real Estate Services saw decreases compared to the same quarter last year while Hospitality saw increases compared to Q2 2022.
Quarter over quarter, Q2 2023 results showed average renewal rate change increased across nearly all lines of the most commonly placed Commercial Lines categories, including Real Estate Property, Business and Professional Services, and Hospitality Services. Average renewal rate change for Construction and Retail Services decreased in Q2 2023 compared to Q2 2022.
Significant findings include:
- Business and Professional Services: Q2 2023 premium renewal rate change average was 7.42%, up from the Q1 2023 average of 6.99%.
- Construction, Erection, and Installation Services: Premium renewal rate change average was 7.24% for the quarter, down from the Q1 2023 average of 7.42%.
- Hospitality Services: Q2 2023 premium renewal rate change average was 9.28%, up from the Q1 2023 average of 8.90%.
- Real Estate Property: Premium renewal rate change average was 6.87% for the quarter, up from the Q1 2023 average of 6.83%.
- Retail Services: Premium renewal rate change averaged 8.31%, down relative to the Q1 2023 average of 8.87%.
“We are seeing greater variability in average renewal rate change both year over year and quarter over quarter,” said Steve Whitelaw, senior vice president and general manager, Canada, Applied Systems. “As we make our way into the second half of the year, the index will continue to provide evidence of how macroeconomic trends are affecting the market, allowing the industry to stay up to date on the latest trends to inform renewal conversations, forecasting and more.”
Access the complete quarterly report here.
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Applied Commercial Index is a trademark of Applied Systems, Inc. All data is fully anonymized when aggregating and analyzing the Applied Commercial Index.
About Applied Systems
Applied Systems is the leading global provider of cloud-based software that powers the business of insurance. Recognized as a pioneer in insurance automation and the innovation leader, Applied is the world’s largest provider of agency and brokerage management systems, serving customers throughout the United States, Canada, the Republic of Ireland, and the United Kingdom. By automating the insurance lifecycle, Applied’s people and products enable millions of people around the world to safeguard and protect what matters most.
