The commercial market went soft last month, moderating to -1% from flat in August, while personal lines pricing slipped to +1% from +2%, according to the latest MarketScout pricing survey.

All lines of commercial coverage remained flat between August and September, with the exception of property—down to -1% in September from +1% in August—and auto, which held steady at +2%.

Rates held steady at flat for small to medium commercial accounts (up to $250,000); moderated to -1% in September from flat in August for large accounts ($250,001-$1 million); and declined even further to -4% in September from -3% in August for jumbo accounts (more than $1 million).

“We expect pricing on most lines to be adjusted downward,” says Richard Kerr, MarketScout CEO, who notes a few exceptions: commercial auto risks as well as accounts with “poor loss experience or other underwriting concerns.”

In personal lines, rates for all homeowners moderated to +1% in September from +2% in August, while auto and personal articles pricing held steady at +2% and +1%, respectively.

“It appears the U.S. personal insurance market will enjoy another year without a major hurricane hitting the mainland,” Kerr says. “As a result, rates could continue to be more and more competitive.” 

Jacquelyn Connelly is IA senior editor.