Composite US Commercial Insurance Rates Steady
July 7, 2023
Personal Lines Rates Moderate
October 9, 2023


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Commercial Insurance Rates Moderate in Third Quarter 2023

Composite rate measured 3.72%

In 2023, third quarter commercial insurance rates were plus 3.72% as compared to plus 5% in the second quarter.

Rates for all coverage classifications except business owners policies (BOP) moderated in the third quarter. BOP rates increased from plus 3.2% to plus 5%.

By industry group and account size, every category enjoyed rate moderation.

“Reinsurers have been tough on insurance company partners the last twenty-four months, says Richard Kerr, CEO of Novatae Risk Group. “We see their stance moderating. The enhanced terms are being passed along to insurers and their customers. Higher interest rates also help support reinsurers' results, so that could be a part of the reason for moderating rates as well.”

“Some property underwriters do feel rates should continue to increase because of their concern about global warming, which is somewhat affirmed by our hottest summer on record in 2023,” added Kerr.

The National Alliance for Insurance Education and Research conducted pricing surveys used in MarketScout's analysis of market conditions. These surveys help to further corroborate MarketScout's actual findings, mathematically driven by new and renewal placements across the United States.

A summary of the third quarter 2023 rates by coverage, cyber liability, industry class and account size is set forth below.

By Coverage Class
Commercial PropertyUp 9%
Business InterruptionUp 5%
BOPUp 5%
Inland MarineUp 4%
General LiabilityUp 6.3%
Umbrella/ExcessUp 5%
Commercial AutoUp 7%
Workers’ CompensationFlat 0%
Professional LiabilityUp 3.3%
D&O LiabilityUp 3%
FiduciaryUp 1%
CrimeUp 1%
SuretyUp 1%
Cyber Liability
CyberUp 8%
By Account Size
Small Accounts - Up to $25,000Up 4%
Medium Accounts - $25,001 – $250,000Up 4.3%
Large Accounts - $250,001 – $1 millionUp 4.3%
Jumbo Accounts - Over $1 millionUp 3.3%
By Industry Class
ManufacturingUp 3.7%
ContractingUp 3%
ServiceUp 3%
HabitationalUp 3.7%
Public EntityUp 2.6%
TransportationUp 6%
EnergyUp 2%

For detailed rating analysis or market projections by industry class, coverage or account size, contact Vilma Scott at

About MarketScout

Founded in 2000, MarketScout is an insurance distribution and underwriting company headquartered in Dallas, Texas. The company is a Lloyd’s Coverholder and MGA for US insurers with specialty expertise in workers’ compensation, private client solutions, energy, healthcare, fine art, equine, jewelry, professional liability, and many specialty programs. The company owns and operates the MarketScout Exchange, as well as over forty other online and traditional underwriting and distribution venues. MarketScout is the founder of the Council for Insuring Private Clients (CIPC) and administers the Certified Personal Risk Manager (CPRM) designation in partnership with The National Alliance for Insurance Education & Research. MarketScout is the only insurance organization to receive The National Alliance’s exclusive partnership and endorsement. The company founded the Entrepreneurial Insurance Alliance (EIA) in 2007 to support insurance entrepreneurs and in 2017 founded the MarketScout InsurTech (MIT) venture fund. In January 2018, it launched an Incubator to accelerate start-up MGAs and assume operational functions for existing MGAs and insurers. MarketScout’s company culture and sense of community encourages growth, learning and collaboration. The company has been named as one of the Best Places to Work in Insurance by Business Insurance for ten consecutive years. In November 2022, MarketScout joined Novatae Risk Group and Richard Kerr was named the combined companies’ CEO. California license #0D60423.