Toronto, ON., May 15, 2024 (GLOBE NEWSWIRE) -- Applied Systems® today announced the first quarter 2024 results of the Applied Commercial Index™, the Canadian insurance industry’s premium rate index. Overall, rates saw an increase of 6.14% in Q1 2024, which is depressed relative to the rate increase of 7.39% in Q1 2023. Business and Professional Services, Construction, Hospitality Services, Real Estate and Retail Services all saw decreases in Q1 2024 compared to the same quarter last year.
Quarter over quarter, Q1 2024 results showed that average renewal rate change decreased across all the most commonly placed lines of business including Business and Professional Services, Construction, Hospitality Services, Real Estate and Retail Services.
Significant findings include:
- Business and Professional Services: Q1 2024 premium renewal rate change average was 5.54%, down from the Q4 2023 average of 6.86%.
- Construction, Erection, and Installation Services: Premium renewal rate change average was 6.04% for the quarter, down from the Q4 2023 average of 7.48%.
- Hospitality Services: Q1 2024 premium renewal rate change average was 6.81%, down from the Q4 2023 average of 7.73%.
- Real Estate Property: Premium renewal rate change average was 6.35% for the quarter, down from the Q4 2023 average of 7.86%.
- Retail Services: Premium renewal rate change averaged 6.53%, down relative to the Q4 2023 average of 9.22%.
“Overall, average rate increases were still up year over year, but the pace of increase is slowing relative to 2023,” said Steve Whitelaw, senior vice president and general manager, Canada, Applied Systems. “Our index shows that the magnitude of renewal increases are lessening in some segments of the market, which will be insightful for brokers in renewals conversations with customers and where to target business growth opportunities.”
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.
