Global commercial insurance prices in largest increase

• Global property insurance was up by 19{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f} and global financial and professional lines rose 37{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}, while global casualty pricing saw a 7{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f} average increase.
• Composite pricing in Q2 increased in all geographic areas for the seventh consecutive quarter.
• The US (18{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}), UK (31{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}), Continental Europe (15{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}) and Pacific (31{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}) regions all posted double-digit pricing increases. The increases in these regions were largely driven by increases in property and directors and officers coverages.
• Some D&O markets saw large increases. For example, US public-company D&O prices rose 59{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f} on average, with more than 90{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f} of clients seeing an increase. In the UK, D&O pricing increases averaged more than 100{3c4481f38fc19dde56b7b1f4329b509c88239ba5565146922180ec5012de023f}.

“While pricing movements this quarter were impacted by losses related to COVID-19, other large losses contributed to overall pricing pressures,” said Dean Klisura, president of global placement and advisory at Marsh. “As insurers continue to work through claims in property and D&O, and with the full cost of COVID-19 still developing, upward pressure on pricing is anticipated for the balance of 2020.”