Property and Casualty

P&C Market Update: U.S. Insurance Industry Shows Signs of Stabilization Amidst Varied Challenges

September 10, 2024

News banner

Deerfield, IL (September 10, 2024) — Alera Group’s 2024 Property and Casualty Market Update 

reveals that the U.S. insurance market is beginning to stabilize, reflecting a shift from the previous period of volatility. 

The new report — a bridge between Alera Group’s annual Market Outlooks, which are released each December — highlights several trends, including moderate rate increases and improved market capacity. But despite these positive developments, sector-specific challenges persist. 

Based on information from Q2 2024 and July policy renewals, key findings include:

  • The average price increase across all lines of business and all account sizes is 5.2%, down from 7.7% in the previous quarter.
  • The influx of new capital into the market is improving capacity and forcing increased competition.
  • While some lines of coverage, such as Workers’ Compensation and Cyber Liability, experienced price decreases, sectors such as transportation and hospitality are facing the steepest rate hikes.
  • The industry continues to face challenges, particularly in casualty lines and Property Insurance. Insurers are navigating rising loss trends and adjusting to the impacts of natural disasters and severe weather events.

“As we refine our outlook for the rest of 2024, it is evident that while the market shows signs of stabilization, insurers are remaining vigilant and adaptive,” said Mark Englert, Executive Vice President and National Property and Casualty Practice Leader at Alera Group. “Navigating the current landscape requires a keen understanding of emerging trends and ongoing risks to maintain a balanced approach to growth and profitability.”

The report provides a comprehensive analysis of market conditions in various lines of property and casualty coverage, including Commercial Auto, Commercial Property, Cyber Liability, Directors and Officers, Employment Practices Liability, Environmental, General Liability, Medical Malpractice, Personal Insurance, Professional Liability, Surety, Umbrella/Excess Liability and Workers' Compensation.

The Property and Casualty Market Update is available for download on the Alera Group website. Contact a local Alera Group office or email info@aleragroup.com with questions and requests for assistance.

 

About Alera Group

Alera Group is an independent financial services firm with approximately $1.4 billion in gross revenue, offering comprehensive property and casualty insurance, employee benefits, wealth services and retirement plan solutions to clients nationwide. Working collaboratively across specialties and across the country, Alera Group’s team of more than 4,400 colleagues offer unique solutions, personalized services and proactive insights to help ensure each client’s business and personal success. For more information, visit aleragroup.com and follow us on LinkedIn

 

*Statistics accurate as of June 30, 2024.