Premiums increased for the 18th consecutive quarter in Q1 2022, with respondents reporting an average premium increase across all account sizes of 6.6%.
However, the rate at which premium prices increased moderated slightly in Q1 2022, with most lines showing lower increases than Q4 2021 by at least two percentage points or more.
The only line aside from cyber that recorded a double-digit increase was umbrella, at 10.5%. Other problem lines, such as D&O liability and commercial property, all had increases below 10% this quarter, another sign of moderated price increases in Q1 2022.
Brokers continued to struggle with the cyber line of business. Premium prices for the line increased by an average of 27.5% this quarter, and the theme of increased frequency and severity of cyber claims was again common in responses. Respondents also highlighted a tension between decreased capacity in the market and increased demand.
Carriers enforced strict underwriting requirements for cyber, with many requiring at least multifactor authentication before they would even provide a quote. Insureds without loss controls, or with insufficient loss controls, would often be outright denied at renewals
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