Globally, commercial insurance prices increased 15% in the third quarter of 2021, maintaining the relative change recorded in the previous quarter, reports a study by Marsh which is a world leader in insurance brokerage and risk consulting.

"While this is the 16th consecutive quarter of rate increases in the global insurance market, the rate of growth remains subdued in many lines of business and in many geographies. This trend may suggest that the increase peaked in the fourth quarter at 22%," the company's report states.

The report further reveals that the "increases among all geographies were moderate due to generally slower increases in property damage and directors and officers liability insurance."

"While the risk and insurance landscape remains challenging, we expect moderation to continue in more classes. However, the rate pressure in cyber insurance is expected to continue. Developing solutions for our clients in this segment remains a high priority for Marsh," explains Antonio Morna, Director of Placement at Marsh.

Going to the specifics, the report avers that overall property damage insurance premiums rose by an average of 9%, down from the 12% increase in Q2 2021, this on the one hand.  

On the other hand, liability premiums increased by an average of 61TP2Q, the same as other quarters.

The report also notes that the highest rate of increase occurred in financial and professional lines which earned 32% in the major insurance categories, compared to 34% in the previous quarter.

Cyber insurance prices, meanwhile, continue to diverge from the moderating trend. In the US prices rose 96%, compared to 56% in Q2, and in the UK they rose 73%, compared to 35% in Q2, driven by the increased frequency and severity of ransomware claims.