Commercial property/casualty rates may be starting to stabilize, according to a survey released today by the Council of Insurance Agents & Brokers.

Roughly two-thirds of the 117 producer respondents to the CIAB's "First Quarter 2003 Commercial Property/Casualty Market Survey" reported that accounts of all sizes had experienced rate increases averaging 20% or less during the first three months of the year.

And, in contrast to other recent CIAB surveys, only a handful of accounts experienced increases of more than 30% on average. For example, only 3% of the respondents said that rates for large accounts—those that generate more than $100,000 in fees and commissions annually—had experienced increases of more than 30% during the first quarter of 2003. Eleven percent of respondents had reported increases in excess of 30% for large accounts during the fourth quarter of 2002 (BI, Jan. 27).

Rates for some lines, however, continued to soar. Forty percent of respondents said medical malpractice liability rates had increased by more than 30% for accounts of all sizes during the past three months.

In a statement accompanying the survey, CIAB President Ken Crerar noted that rate increases in both business interruption and commercial property accounts seemed to be relenting.

"There are still exceptions in major metropolitan areas, especially when a trophy property or major tourist attraction is involved, but our members are reporting that more competitive pricing may be returning to the market. Carriers are also more willing to write risks than a year ago, another sign of market stabilization," he said.

A copy of the complete survey is available at the CIAB's Web site, www.ciab.com.