Independent agents saw largest growth in homeowners lines in 2022
The independent agent channel placed 63% of the P&C insurance written in the U.S. in 2022, according to a recent report from the Big “I”.
The independent agent channel placed 63% of the P&C insurance written in the U.S. in 2022, according to the latest market share report from the Big “I” – an increase of 3% over the previous five years’ average.
Overall surplus lines placement grew by 2% in 2022 from the five-year average, but private flood surplus lines saw the most dramatic increase – jumping to a 45% utilization rate in 2022 compared to an average of 36% over the previous five years.
The amount of commercial lines placement by the independent agency channel stayed steady from the previous year at 87%, but placement grew in personal lines from 37% in 2021 to 38% in 2022. According to the report, personal lines penetration has trended upward over the last five years.
Homeowners saw the largest independent agent channel penetration increase among personal lines, going from 46% in 2018 to 50% in 2022. Direct written premiums increased from $785 billion in 2021 to $861 billion in 2022.
The Big “I” report states the other top lines of business for independent agents over the last five years (2018 to 2022) include:
- Multi-peril crop (96% five-year average)
- Workers’ compensation (90%)
- Fire peril only (89%)
- Commercial auto (84%)
- Commercial multi-peril (84%)
“Looking at the past five years, the independent agency channel is gaining ground slowly but steadily, with no material losses in any area seen in 2022’s data,” Jennifer Becker, Big “I” senior director of agent development, research and education, said in a release. “As we begin to see signs of a hardening market, independent agencies are facing the challenges head-on as trusted advisors to their customers.”