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Commercial property premiums fell as pricing softened across accounts
In Q2 2026, commercial property premiums dropped 6.3% on average, while capacity rose for most respondents and wind and hail deductibles eased.
Commercial property and casualty pricing softened further in the second quarter of 2026, with average premiums declining across every account size category, a first in 34 quarters, according to The Council of Insurance Agents & Brokers.
The Council said commercial property/casualty premiums fell an average of 2.0% across all account sizes in Q2 2026, compared with a 1.2% average decrease in the first quarter. Large accounts, those generating more than $100,000 in commission and fee revenue, saw the steepest drop at 3.7%, while medium accounts fell 1.9% and small accounts declined 0.5%.
The report found that 10 lines of business posted average premium decreases in the quarter, and the average change across all lines, including major lines, was a 0.3% decrease. Commercial property recorded the largest decline for a second consecutive quarter, with premiums down 6.3%, following a 5.5% decrease in Q1 2026, the largest drop in property premiums since a 7.0% decrease in Q2 2010.
The Council attributed part of the easing to rising capacity, with 75% of respondents reporting an increase. It also said softened conditions led to lower deductibles, especially for wind and hail coverage, while umbrella and commercial auto remained above-average increase lines, with umbrella premiums up 5.3% for the 35th straight quarter and commercial auto rising 4.5%.