Pricing Watch: CIAB and IVANS Data Show Further Deceleration

Research evidence excerpt

Pricing Watch: CIAB and IVANS Data Show Further Deceleration

I N D U S T R Y N O T E

J u n e 1 5 , 2 0 2 6

Insurance

CONCLUSION Paul Newsome, CFA, CPCU

Two recent commercial lines survey data points show continued deceleration of commercial Managing Director, Piper Sandler & Co.

lines pricing. Importantly, the CIAB Commercial Market Index went negative for the first 312 281-3445, paul.newsome@psc.com

time since 3Q17. We think a potential concern is that middle market also went negative Cam Bianchi

which is where we have heard rate deceleration has trickled down from large account (small Research Analyst, Piper Sandler & Co.

612 456-9841, cam.bianchi@psc.comaccount was still positive but decelerated). IVANS data showed overall deceleration but

modest sequential acceleration in commercial property and workers comp. INDUSTRY RISKS

The P/C insurance industry is subject to risks

• CIAB 1Q26 Commercial Market Index Data Shows Pricing Decelerating. CIAB including catastrophe events, changes in interest

overall rates decelerated to (1.2%) versus +0.2% last quarter and decelerated versus rates and fixed income credit losses, declines

+4.9% in the prior year period. Small account rates decelerated at +1.1% versus +2.8% in equity valuations in their investment portfolios

last quarter and decelerated versus +3.6% in the prior year period. Midsized account and higher claim costs related to inflation and

rates decelerated to (2.1%) versus +0.0% last quarter and decelerated versus +3.7% changes in the legal and regulatory environment.

in the prior year period. Large account rates decelerated to (2.7%) versus (2.1%) last

quarter and decelerated versus +5.3% in the prior year period.

• IVANS Index shows price increases decelerating in May versus last month. The