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.
PROPERTY REDY® INDEX - October 2022
MONTHLY RENEWAL PRICING ANALYSIS
WHY YOUR RESULTS MAY DIFFER
The REDY Index shows pricing trends based on average property renewal premium on a broad range of accounts – in all 50 states, with varying loss histories, and a variety of perils and occupancies. Your results may differ substantially from the average shown above depending on these attributes and a particular account’s risk profile. 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 online (Premium/ Limit*100). The REDY Index is intended for educational purposes only.
ONGOING PROPERTY ISSUES
- The Property CAT market was already tightening prior to Hurricanes Ian’s landfall. While the final loss numbers from Ian will likely take years to settle out, the hurricane will have an immediate and substantial impact on the 2023 E&S Property Marketplace. Possible outcomes may include restricted capacity, resulting in shared and layered placements for TIVs of all sizes including inland as well as coastal risks, further pressure on rate, and increased retentions.
- Valuation and inflationary pressures are long-term issues that will continue to drive underwriting conversations moving forward. While inflation is driving overall costs up throughout the insurance transaction, carriers are being pushed by their capital providers to manage their inflationary exposures. In response, carriers appear poised to seek greater adjustments rather than incremental changes in valuations. Insureds should be prepared to fully articulate and support the actual data-based valuations of the coverage they are seeking.