Commercial lines insurers are leading the way in the latest Insurance Times 5 Star Ratings after a significant increase in service levels over the last three years.
The average five-star rating for commercial lines insurers rose to 3.84 – an increase of 0.08 on last year and 0.24 better than in 2022 when commercial insurers hit an all-time low of 3.60 in the wake of the business interruption scandal.
Indeed, this represents a notable turnaround for the market, with commercial lines insurers receiving a record rating for 2024.
This, coupled with a 0.12 decline in the average rating for personal lines insurers, means that commercial insurers have been rated higher than their peers in personal lines for the first time since the ratings were launched.
Personal lines insurers received an average rating of 3.79, down from 3.91 a year earlier.
In stark contrast to the commercial lines market, these latest ratings represent the lowest average rating for personal lines insurers across the entirety of the six years for which this research has been carried out.
Worryingly, almost two-thirds (63%) of brokers responding to the survey said that the service provided by personal lines insurers has declined over the last 12 months.
The lowest-ranked service factor for personal lines insurers in 2024 was underwriting experience with an average score of 3.59, replacing relationship management as the poorest performing factor.
Brokers had a similar view of the commercial lines underwriting experience, which was also the lowest ranked service factor for the third consecutive year.
The average score of 3.74 was, however, an improvement on the previous year when commercial lines insurers received an average rating of 3.64 for underwriting experience.
Scores for all of the insurers included in the Insurance Times Five Star Ratings for this year and the previous five are available on the Insurance DataLab market intelligence platform. Click here to register for your free trial.
