Commercial General Liability Insurance Trends

The general liability market has consistently underperformed for insurance carriers in recent years. As claims have increased in frequency and severity, insurance carriers have responded by tightening underwriting standards, deploying less capacity and seeking rate increases. Despite recent trends, carriers have begun to see some improvement in general liability results. In 2022, it’s predicted that most policyholders will encounter another year of modest rate increases for general liability coverage. Policyholders who operate in sectors with elevated general liability exposures (e.g., real estate, construction, manufacturing, retail and hospitality) may be more prone to double-digit rate increases and restrictive underwriting standards and may experience difficulties securing higher coverage limits.

The overall price prediction increase is 2.5% to 15%. What can you do to keep your increase to a minimum?

  • Work with your insurance broker to educate yourself on key market changes affecting your rates and how to respond using loss control measures.
  • Ensure your establishment has measures in place to reduce the potential for customer for visitor injuries (e.g., maintaining safe walking surfaces and promoting proper housekeeping).
  • Examine your general liability coverage with your insurance broker to ensure limits match up with your insurance needs.

Contact Consolidated Insurance + Risk Management today to go over your general liability coverage and see what you can do to keep the premiums affordable.