WTW Sees 2.5% Q1 Commercial Insurance Rate Rise, Down From 5.3%
WTW•Commercial insurance rates climbed 2.5% in Q1 2026, marking the third straight quarter of slowing increases from 5.3% a year earlier. Excess/Umbrella Liability saw the largest hike, while Commercial Auto rates dipped below 10% for the first time since Q3 2023.
1. Q1 Commercial Insurance Pricing
WTW’s Commercial Lines Insurance Pricing Survey recorded a 2.5% rise in U.S. commercial insurance premiums for policies underwritten in Q1 2026 compared with the same period in 2025, marking the third consecutive quarter of decelerating rate increases from 5.3% in Q1 2025.
2. Softening Across Coverage Lines
Pricing trends eased across Small Commercial, Mid-Market and Large Account segments, with Excess/Umbrella Liability posting the highest increase despite a quarter-on-quarter decline; Commercial Auto rates dipped below 10% for the first time since Q3 2023, while other lines held steady or edged lower.
3. Impact on Consulting and Outlook
The moderating rate environment may temper demand for sizable price-setting adjustments, potentially influencing WTW’s advisory services as clients seek guidance on risk management; forward-looking rate predictions and outlooks will be key for insurers planning renewals and strategic budgeting.
