Source: GlobeNewswire (MIL-OSI)
MISSISSAUGA, Ont., June 09, 2022 (GLOBE NEWSWIRE) — Applied Systems® today announced the first quarter 2022 results of the Applied Commercial Index™, the Canadian insurance industry’s premium rate index. Across all industries of the most commonly placed commercial lines, rates were up relative to average premium renewals in the same quarter last year with 8.35% in Q1 2022, up from 7.68% in Q1 2021. All major commercial lines of business, except Real Estate Property, saw increases compared to the same quarter last year.
Quarter over quarter, Q1 2022 results showed average renewal rate change decreased across all lines of the most commonly placed Commercial Lines categories, including Business and Professional Services, Construction, Hospitality Services, Real Estate Property and Retail Services.
Significant findings include:
- Real Estate Property: Premium renewal rate change average was 8.75% for the quarter, down from the Q4 2021 average of 10.22%.
- Business and Professional Services: Q1 2022 premium renewal rate change average was 7.96%, down from the Q4 2021 average of 8.16%.
- Construction, Erection and Installation Services: Premium renewal rate change average was 9.32% for the quarter, down from the Q4 2021 average of 9.88%.
- Hospitality Services: Premium renewal rate change average was 9.32% for the quarter, down from the Q4 2021 average of 9.88%.
- Retail Services: Premium renewal rate change averaged 8.59%, down relative to the Q4 2021 average of 9.14%.
“The Q1 index shows a continuing increase in premium levels, however, there is a slight reduction of average premium rate increases across all of the major commercial lines compared to last quarter,” said Steve Whitelaw, senior vice president and general manager, Canada, Applied Systems. “The financial and cost pressures in our economy are being seen in premium renewal rates as well, and we will keep an eye on the trends in the commercial P&C rate environment.”
Applied Commercial Index is a trademark of Applied Systems, Inc. All data is fully anonymized when aggregating and analyzing the Applied Commercial Index.
Access the complete quarterly report here.
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.