The REDY Index leverages CRC Group’s collection of actionable data – the wholesale industry’s largest. It provides critical pricing analysis monthly, giving you a snapshot of the marketplace. The REDY Index generates instant intelligence on pricing trends by industry or coverage, enabling our retail partners to set accurate data-driven expectations with their clients. Removing the guesswork empowers CRC team members to negotiate competitively, consistently producing better outcomes, better deliverables, and better results. Removing the guesswork empowers CRC team members to negotiate competitively, consistently producing better outcomes, better deliverables, and better results.
EXCESS & UMBRELLA REDY® INDEX - June 2024
MONTHLY RENEWAL PRICING ANALYSIS
WHY YOUR RESULTS MAY DIFFER
Results displayed above reflect average CRC Group excess and umbrella liability renewal pricing changes by month (over the previous 12 months). Results are limited to brokerage accounts that renewed in the same month as the prior year with the same total account limits. To remove outliers, the top and bottom 1% of accounts by YoY % change have been removed, as well as the top and bottom 1% of accounts by rate on line (Premium/ Limit*100). The REDY Index is intended for educational purposes only as individual accounts typically differ from average pricing trends.
ONGOING EXCESS & UMBRELLA ISSUES
- In the first half of 2024, excess casualty pricing continued to firm, averaging low to mid double digits as seen in Q1 and Q2 REDY Indexes. Market uncertainty persists, with outcomes varying widely by class and individual account performance. Changes in deal structure, such as larger primary retentions, total capacity purchased and limitations to coverage, are being explored to moderate pricing. Competitive deals and negotiation still remain for best-in-class risks.
- Habitational real estate, transportation risks, and accounts with large auto fleets significantly influenced this quarter’s results, particularly in April. Carriers responded to loss trends by exiting certain classes and geographies, non-renewing specific accounts, or aggressively adjusting rates above trend, prepared to walk away from deals if necessary. For acceptance of new business in these segments, carriers are demanding detailed submissions, higher rate online and have shifted to pricing based on more nuanced exposure criteria to justify writing.