The personal lines insurance market is experiencing a persistently hard market that may extend for several more years.
Key takeaway: The personal lines insurance market is experiencing a persistently hard market that may extend for several more years. Carriers have found it difficult to outpace inflationary cost trends in a highly regulated marketplace. Most insurance carriers have made it clear that the 2023 focus is disciplined underwriting and an emphasis on profitability over growth. Many of the restrictions we have experienced in California and Florida have extended throughout the west as carriers shed wildfire-exposed risks as well as wind-exposed risks on the east coast. With many of the carriers experiencing their highest loss ratios in decades, we anticipate a vigorous approach to rate increases along all lines of business.
