Applied Rating Index Q3 2020 Released
Mississauga, ON, Oct. 15, 2020 (GLOBE NEWSWIRE) -- Applied Systems® today announced the third quarter of 2020 results of the Applied Rating Indextm, the Canadian insurance industry's premium rate index. In Q3 2020, average premiums for both Personal Auto and Personal Property lines increased versus the same quarter in 2019. Quarter over quarter, average premium change decreased for both Personal Auto and Personal Property lines as compared to Q2 2020. For Personal Auto, Alberta and the Atlantic provinces experienced the most significant increase in premium year over year for the third quarter in a row, at 10.5% and 8.0% respectively. For Personal Property, Quebec's year-over-year premium remained the highest for the third quarter running at 15.6%, albeit down from Q2 at 22.1%. British Columbia's annual premium rate continued its negative trajectory, from -6.3% in Q2 2020 to -7.9% in Q3 2020.
Key findings for Q3 2020 include:
- Personal Auto: In Q3 2020, Personal Auto premiums increased by 1.3% versus Q3 2019. Personal Auto premiums increased 0.6% versus Q2 2020.
- Personal Property: In Q3 2020, Personal Property premiums increased by 2.1% versus Q3 2019. Personal Property premiums increased 0.8% versus Q2 2020.
- Provinces: Across both Personal Auto and Personal Property, all provinces experienced a downturn in change relative to Q2 2020.
"As we begin the final months of 2020, we are seeing a continued increase in national average premiums for both Personal Auto and Personal Property lines versus the previous year, however, many provinces experienced decreases in premium rates," said Steve Whitelaw, vice president of Industry & Partner Relations, Applied Systems. "The Applied Rating Index continues to monitor the impacts of the pandemic and other macrotrends influencing premium pricing via data-driven insights."
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 more than 1.3 billion quotes completed, the Applied Rating Index measures the increase or decrease in average premium rate trends across Canada. Representing more than 80% of the brokerage market and 675 insurer rating plans written by brokers, 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.
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.
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