US Commercial Insurance Industry Continues to Witness Price Hike in 2022

In May 2022, almost all commercial insurance rates climbed up significantly. The only exception to this is the rates of workers’ compensation insurance.  

According to the data from CIAB, U.S. commercial insurance premiums rose for the 18th consecutive quarter in Q1 2022. In Q1 2022, premiums climbed by 5.7 percent across the five main business lines (commercial property, commercial auto, umbrella, general liability, and workers compensation). 

Business owners’ policy prices increased by 5.67%, general liability rates increased by 4.85%, and commercial property rates increased by 6.49% in April. Umbrella insurance also experienced quite the hike and went up by 10.5 percent. Professional liability experienced a double-digit rate increase after nine quarters of acceleration, though having a lower rate of growth than the prior quarter. Workers’ compensation rates decreased by 0.84 percent. Worker’s compensation is one of the few coverage areas that have not had significant growth in recent years.