Global property insurance prices increased by 10% in 2023
According to the Marsh Global Insurance Market Index, global property insurance prices increased by an average of 10% in the second quarter of 2023, as in the first quarter.
Average insurance prices were relatively stable in all regions during the quarter, driven by lower tariffs for financial and professional lines and continued price trends in the cyber insurance market, offset by an increase in property insurance, which was the largest in Q2.
In the UK, total prices increased by 1% (compared to a 3% increase in 1Q2023), in the Pacific Rim they increased by 2% (down from 7% in 1Q2023), and in Asia they remained unchanged (down from 1% in 1Q2022).
The other regions recorded identical growth compared to the previous quarter, with Latin America and the Caribbean up 8%, Continental Europe up 5%, and the US up 4%.
Global commercial insurance prices increased by 3% in Q2, marking the 23rd consecutive quarter of price growth. At the same time, the cost of accident insurance increased by 3%, as in the first quarter.
For the fourth consecutive quarter, overall average prices for financial and professional lines fell. Due to lower tariffs and additional reinsurance capacity, particularly in the UK, average prices decreased by 8% in the second quarter compared to a 5% decrease in the first quarter.
Globally, the growth in cyber insurance prices slowed to 1% compared to 11% in the previous quarter and 28% in Q4 2022. This was driven by a 4% decline in prices in the US compared to an 11% increase in the first quarter.