The property insurance marketplace has stabilized during the past year, primarily due to the relatively benign hurricane season along the Atlantic and Gulf coasts. Competition among insurers seeking to retain clients and grow their businesses also played a role. Renewals often reflected rate decreases, increased capacity, improved terms and conditions, and/or reduced deductibles.

Looking Ahead

The property insurance markets will likely continue to stabilize and premium rates should continue to moderate, barring a large, catastrophic event. Premium rates will depend on each individual company’s risk profile and history. Rates are softening for companies with little to no CAT exposure, and increasing for those with heavy CAT exposure.