pendent Insurance Agents and Brokers of America (IIABA).
In addition, ACORD members elected several new directors: Jeremy D. Cooke, Marsh, Inc.; Art Jetter, National Association of Independent Life Brokerage Agencies (NAILBA); Jim Pedersen, Fireman’s Fund; Markus Schmid, Swiss Re; and Tim Wright, Willis Group.
DALLAS—The composite property and casualty rate in the United States was down 4% for January 2010, prolonging the soft market. However, there were some notable changes in rates by line of coverage and industry group.
will happen quickly without a cataclys-
mic event of significant magnitude.”
Following is a complete listing of
ACORD’s 2010 board of directors.
Chair: John Leonard, MEMIC Group president, CEO
Vice-Chair: David Findley, Outside Director
Bill Bloom, Travelers
Lawrence Brandon, American Institute for CPCU (AICPCU)
Andrew G. Cassidy, Council of Insurance Agents & Brokers (CIAB)
Andy Fogarty, Outside Director Al Iuppa, Zurich
Rainer Janssen, Munich Re Group
Art Jetter, National Association of
Independent Life Brokerage Agen-
cies (NAILBA)
James Knight, Chubb and Son
Barbara Koster, Prudential Financial
Sue Langley, Lloyd’s of London
Frank Liu, China Life Ins. Co., Ltd.
Dennis Mahoney, Outside Director
Brian O’Connell, The Hartford
Jim Pedersen, Fireman’s Fund
William Pieroni, State Farm Ins.
Keith Savino, National Association of
Professional Insurance Agents (PIA)
Bob Slocum, Independent Ins. Agents & Brokers of America (IIABA)
Tim Wright, Willis Group
According to Richard Kerr, CEO of
MarketScout, “While the composite
rate remained at minus 4%, we noted
[that] rates for Service, Public Entities
and Energy decreased further, with
Public Entities moving from a minus
3% to minus 5%. In addition, Direc-
tors & Officers, one of the only cover-
ages that went several months in 2009
without rate decreases, slipped back
and was hit with an average rate de-
crease of 2% for January 2010.”
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, which
are mathematically driven by actual
new and renewal placements across
the United States.
Summery of Stats A summary of January 2010 rates by coverage, industry class and account size is set forth below.
Endless Softness The current soft market cycle seems to have no end. Kerr reflected upon the market conditions by stating, “We are in the market doldrums and will be here until something changes. Insurers must be patient. Rates will adjust, but nothing
By Coverage Class Commercial Property ........ Down 4% Business Interruption ........ Down 2% BOP .................................. Down 2% Inland Marine ................... Down 4% General Liability ............... Down 4% Umbrella/Excess ................ Down 4% Commercial Auto.............. Down 4% Workers’ Compensation .... Down 3% Professional Liability ......... Down 1% D&O Liability .................. Down 2% EPLI ................................. Down 1% Fiduciary ........................... Down 1% Crime................................ Down 1% Surety ................................ Down 1%
Small, up to $25,000......... Down 3% Medium, up to $250,000.. Down 4% Large, up to $1,000,000.... Down 5% Jumbo, over $1,000,000.... Down 4%
ACORD (Association for Cooperative Operations Research and Development) is a global, nonprofit standards development organization serving the insurance industry and related financial services industries. ACORD’s mission is to facilitate the development of open consensus data standards and standard forms. ACORD maintains offices in New York and London.
By Industry Class Manufacturing .................. Down 4% Contracting....................... Down 3% Service............................... Down 5% Habitational ...................... Down 2% Public Entity ..................... Down 5% Transportation................... Down 3% Energy............................... Down 3%
About MarketScout The barometer is compiled by MarketScout, a Dallas-based electronic insurance exchange located at www. marketscout.com.
16 FEBRUARY 25, 2010 • THE INSURANCE RECORD
References:
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