Insurance rates increasing, survey shows

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Results of NIP Group Inc.’s Transportation Insurance Pricing Survey for the third quarter of 2011 indicate that the majority of respondents feel that rates are increasing with visible acceleration. Respondents report that transportation accounts are experiencing premium increases, quarter over quarter, across all account sizes. This trend is more pronounced in small and medium-sized accounts.

Participants report that none of the coverage lines included in the survey have experienced rate reductions compared to last quarter. “All signs now point to a firming transportation market, with the core lines of Auto Liability and Workers Compensation leading the way,” says Richard Augustyn, chief executive officer of NIP Group Inc. “The survey confirms what most transportation market participants already know – nonspecialty insurers are starting to step back from underwriting the class of business, and specialists are seeking higher rates across the board.”

The survey was issued to transportation insurance brokers, wholesalers and underwriters representing thousands of account placements and is used to benchmark changes in the availability and rates in the transportation insurance market.