Applied Systems has released first quarter 2024 results of the Applied Rating Index, which shows that average premiums for both Personal Auto lines and Personal Property lines increased year over year, while quarter over quarter, premium rate change increased for Personal Auto and increased for Personal Property compared to Q4 2023.
Focusing on Personal Auto, all provinces experienced an increase year over year, with the Atlantic Provinces seeing the highest climb at 14.5%, while Alberta witnessed the lowest at 7.0%.
Moreover, for Personal Property lines, all provinces experienced an increase in premium rate change year over year, with British Columbia seeing the highest premium rate change at 18.3%, and Quebec experiencing the lowest at 3.7%.
In Q124, Personal Auto premium rate change increased 13.3%, compared to Q123. Personal Auto premium rate change increased 0.5% versus Q423.
Moving forward, Personal Property premium rate change increased 10.9% versus Q123. While Personal Property premium rate change increased 3.9% versus Q423.
Additionally, across Personal Auto, all provinces reportedly experienced increased premium rate change year over year with Alberta, Ontario, Quebec and the Atlantic Provinces seeing 7.0%, 12.1%, 9.7% and 14.5% respectively.
Relative to Q423, all provinces, except Ontario, witnessed a downtrend in quarter over quarter premium rate change with Alberta, Ontario, Quebec and the Atlantic Provinces experiencing -1.3%, 1.2%, and -2.3% and -1.4% respectively.
As for Personal Property, lines experienced increased year-over-year premium rate change year across all provinces. Alberta, British Columbia, Ontario, Quebec, the Atlantic provinces, and Saskatchewan & Manitoba all saw increases in premium rate change year over year with 10.5%, 18.3%, 12.7%, 3.7%, 9.2% and 12.0% respectively.
However, relative to Q423, all provinces, except Quebec, saw increases with Alberta, British Columbia, Ontario, Quebec, the Atlantic provinces and Saskatchewan & Manitoba experiencing 6.6%, 10.7%, 4.1%, -2.1%, 1.6% and 4.7% respectively.
Steve Whitelaw, senior vice president and general manager, Applied Systems, commented: “We continue to watch the market trends as premium renewal rates for both Personal Auto and Personal Property increased in the double digits year over year. As the market changes, the data within the Index will serve as an indicator for brokers’ renewal conversations and insurer pricing decisions.”
