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Private D&O REDY® Index - December 2020 TTM

The REDY Index leverages CRC Group’s collection of actionable data – the wholesale industry’s largest. It provides critical pricing analysis on a monthly basis 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.

 

PRIVATE D&O REDY INDEX December 2020 TTM

MONTHLY RENEWAL RATE ANALYSIS | PRIMARY AND EXCESS

Results displayed above reflect average CRC Group Private D&O renewal pricing changes by month (over the previous 12 months). Results are limited to 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.

PRIVATE D&O EMERGING ISSUES

  • Insurers are taking a much stronger stance on a company’s financial strength, requesting information on how COVID-19 affects business. COVID-19 supplemental applications are typical.
  • Difficult private D&O classes include nuanced risk profiles, healthcare, and real estate-related businesses.
  • Watch out for exclusions in private D&O policies that include bankruptcy, creditors, and infectious diseases.
  • D&O underwriters are also affected by the worsening EPL claim environment since they also write EPL in combination with private D&O.

 

Pandemic Accelerating D&O Market Changes
D&O was already hardening before COVID-19 stomped on the accelerator. Now the marketplace is chaotic for public, private and nonprofit firms, with steep rate hikes, higher deductibles, and tighter terms and conditions. Retailers and insureds could be in for a rough ride. CRC's State of the Market report offers advice and insights to help smooth it. READ MORE >