Personal Insurance Rates Up 4.75% in the First Quarter 2024
April 5, 2024
US Property and Casualty Rates Increase Slightly in Second Quarter
July 3, 2024
Personal Lines Insurance Premiums Increase
Inflation impacts homeowners and auto coverages
The average rate increase for personal lines coverages across the United States rose from 4.75% in the first quarter of 2024 to 7.6% in the second quarter.
"Some homeowners insurers are increasing rates because they feel the exposure reported is less than the replacement cost, thereby resulting in generally higher claims than anticipated. Building materials are more expensive due to inflationary pressures, so claim payments are larger than anticipated," said Richard Kerr, CEO of Novatae Risk Group. "Auto insurance rates are up because of increased repair costs and higher-than-expected liability claims," said 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 second quarter 2024 personal lines rates is set forth below
| Personal Lines | |
| Homeowners under $1,000,000 value | Up 8% |
| Homeowners over $1,000,000 value | Up 9% |
| Automobile | Up 8.7% |
| Personal Articles | Up 5% |
About MarketScout, a Division of Novatae Risk Group
Founded in 2000, MarketScout, a Division of Novatae Risk Group, 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. 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.