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With Pricing Soft, Auto Insurers Hope To Stay In Driver's Seat On Loss Costs

With auto insurers struggling to achieve top-line growth as pricing remains flat, no factor is more critical for healthy underlying margins than keeping loss costs favorable. Indeed, divining such

By Steven Tuckey | Updated on May 14, 2006

With auto insurers struggling to achieve top-line growth as pricing remains flat, no factor is more critical for healthy underlying margins than keeping loss costs favorable. Indeed, divining such trends has become a favorite pastime for equity analysts seeking to separate the winners from the losers in the world of personal lines insurers.

The carriers themselves shy away from offering their own projections of such trends for fear of tipping off the competition on what their own data tells them. So comments from them at reporting time remain fairly Delphic in their brevity.

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