Commercial Insurance Rate Increases Cool Across Most Lines In Second Quarter

Premium renewal rate increases eased across nearly all major commercial insurance lines in the second quarter of 2026 compared with the first quarter, according to the Ivans Index, which tracks average premium renewal rate change across the industry’s major commercial lines.

Umbrella liability insurance posted the sharpest slowdown Q2, with its average renewal rate change falling to 7.96% from 9.36% in the first quarter of 2026. Workers’ compensation was the lone exception, with its average rate change ticking up to -1.37% in the second quarter from -1.73% in the first quarter, though it remained in negative territory.

Ivans also reported that the softening trend continued with July rate changes.

Rate Changes Decelerate From Quarter To Quarter

Commercial auto’s average renewal rate increase slipped to 4.93% in the second quarter from 5.28% in the first quarter, the Ivans Index found. The line’s rate increases started the quarter at its highest point, 5.24% in April, before easing to 4.58% by June. Ivans reported that renewal rates in July declined to 4.03%.

BOP renewal rates averaged 6.16% in the second quarter, down from 6.74% in the first quarter, with April marking the quarter’s high point at 6.43% and June its low at 5.97%, according to the report. BOP rates were down slightly in July to 5.94%.

General liability rates averaged 5.44% in the second quarter, a decline from 6.85% in the first quarter, the Ivans Index reported. The line peaked in April at 5.70% before falling to 5.33% by June. In July, general liability continued to decline at 4.99%, Ivans reported.

Commercial property renewal rates averaged 6.40% in the second quarter, down from 6.83% in the first quarter, with a high of 6.71% in May and lows of 6.24% in both April and June, according to the report. July’s average renewal rate declined further to 6.16%.

Umbrella’s average rate increase fell to 7.96% in the second quarter from 9.36% in the first quarter, the steepest quarter-over-quarter decline among the lines tracked. April produced the quarter’s high at 8.27%, while June brought the low at 7.60%. Ivans reported that July’s average rate increase was 7.42%.

Workers’ compensation was the only line posted average rate decreases at renewal in Q2, even though the size of the decline was less than Q1. That trend continued in July, as the size of rate decreases fell to -1.26%, compared with -1.45% in June.

Year-Over-Year Comparisons Show Mixed Direction

Compared with the second quarter of 2025, most lines showed softer pricing this year. Commercial auto’s second-quarter average of 4.93% was well below the 8.43% recorded in the second quarter of 2025, with May 2026’s 4.96% rate marking the most pronounced gap against May 2025’s 8.45%, according to the Ivans Index.

BOP fell to 6.16% from 7.87% in the same year-earlier quarter, with June 2026’s 5.97% compared with 7.74% in June 2025. Commercial property dropped to 6.40% from 7.89% in the second quarter of 2025, with June 2026’s 6.24% versus 8.19% in June 2025 representing the largest divergence. Umbrella eased to 7.96% from 9.07% in the second quarter of 2025, with April 2026’s 8.27% compared with 9.41% in April 2025.

General liability moved in the opposite direction, with average increases rising to 5.44% in the second quarter of 2026 from 4.66% in the second quarter of 2025, with April 2026’s 5.70% notably higher than April 2025’s 4.33%, the report said. Workers’ compensation rate changes also increased year over year on a less-negative basis, averaging -1.37% in the second quarter of 2026 compared with -1.75% in the second quarter of 2025, with May 2026’s -1.31% narrower than May 2025’s -1.87%.

Obtain the second quarter report here and the July update here. &