MISSISSAUGA, Ont., Jan. 24, 2024 (GLOBE NEWSWIRE) -- Applied Systems® today announced the year-end and fourth quarter of 2023 results of the Applied Rating Index™, the Canadian insurance industry’s premium rate index. In Q4 2023, average premiums for both Personal Auto lines and Personal Property lines increased year over year. Quarter over quarter, premium rate change increased for Personal Auto and increased for Personal Property compared to Q3 2023
For Personal Auto, all provinces experienced an increase year over year, with Quebec seeing the highest at 12.4% and Alberta the lowest at 7.6%. For Personal Property lines, all provinces experienced an increase in premium rate change year over year. British Columbia saw the highest premium rate change at 11.1% and Alberta experienced the lowest at 0.7%.
Key findings for Q4 2023 include:
- Personal Auto: In Q4 2023, Personal Auto premium rate change increased 10.1% versus Q4 2022. Personal Auto premium rate change increased 4.8% versus Q3 2023.
- Personal Property: In Q4 2023, Personal Property premium rate change increased 6.6% versus Q4 2022. Personal Property premium rate change increased 2.4% versus Q3 2023.
- Provinces: Across Personal Auto, all provinces experienced increased premium rate change year over year with Alberta, Ontario, Quebec and the Atlantic Provinces seeing 7.6%, 8.0%, 12.4% and 10.0% respectively. Relative to Q3 2023, all provinces experienced an uptrend in premium rate change. Alberta, Ontario, Quebec and the Atlantic Provinces saw significant increases in premium rate change quarter over quarter with 1.6%, 4.7%, and 3.0% and 3.9% respectively.
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 saw increases in premium rate change year over year with 0.7%, 11.1%, 8.3%, 2.5%, 9.1% and 6.4% respectively. Relative to Q3 2023, Alberta, British Columbia, Ontario, Quebec, the Atlantic provinces and Saskatchewan & Manitoba all saw increases quarter over quarter of 0.4%, 4.1%, 3.3%, 2.9%, 2.6% and 2.0% respectively.
“The close of 2023 saw the highest premium rate index for both Personal Auto and Personal Property seen in years,” said Steve Whitelaw, senior vice president and general manager, Applied Systems. “As we make our way into the new year, the Applied Rating Index will continue to track the market trends for Personal Auto and Property insurance premium rates and be a reference for brokers as they navigate renewals.”
The Applied Rating Index is a data-driven report of current conditions and trends for Personal Auto and Personal Property (Homeowners) insurance premium rates. Analyzing quotes completed, the Applied Rating Index measures the increase or decrease in average premium rate trends across Canada. The Applied Rating Index is the most complete depiction of the premium rate trends being experienced by consumers, brokerages, and their insurers across the Canadian market.
Access the complete quarterly report here.
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Applied Rating Index is a trademark of Applied Systems, Inc. All data is fully anonymized when aggregating and analyzing the Applied Rating Index.
About Applied Systems
Applied Systems is the leading global provider of cloud-based software that powers the business of insurance. Recognized as a pioneer in insurance automation and the innovation leader, Applied is the world’s largest provider of agency and brokerage management systems, serving customers throughout the United States, Canada, the Republic of Ireland, and the United Kingdom. By automating the insurance lifecycle, Applied’s people and products enable millions of people around the world to safeguard and protect what matters most.
