Liberty Mutual subsidiary SafeCo will discontinue several underperforming auto and renters insurance products in California over the next two years as it looks to simplify its offerings and focus on areas it can "win in the long term", in the latest example of carriers retrenching from the state.

UK motor insurer Direct Line has started its move onto price comparison websites with the launch of three new products under its own brand.

KBW’s Meyer Shields has provided a “largely positive” outlook for specialty and standard commercial insurers, reflecting the historical pattern of peak commercial underwriting margins coming several years after peak pricing increases.

UK motor insurers will return to profit in 2024 after a difficult two years marred by claims inflation and changes in driving habits since the pandemic – but the outlook for 2025 is bleak, according to EY.

Shares in the Progressive Corporation were trading up 4 percent Friday after the US personal lines giant reported an 18 percent increase in net written premiums to $5.56bn in November and improved its combined ratio by 5.5 points to 85.6 percent.

Expectations that property catastrophe reinsurance pricing is on the wane heading into 2025 could be wide of the mark, while personal auto underwriting margins may still have some way to go before hitting their peak, according to BofA Securities analyst Joshua Shanker.

The increase in the Ogden rate to 0.5 percent from minus 0.25 percent will be credit positive for insurers writing bodily injury-exposed business such as motor third-party liability, according to Moody's.

On 2 December 2024, the personal injury discount rate for England and Wales was set to 0.5 percent, effective 11 January 2025, by the Lord Chancellor following advice from the expert panel to set the rate between 0.5 percent and 1 percent.

The Lord Chancellor announced on Monday that the personal injury discount rate in England and Wales will rise to 0.5 percent in a decision set to impact motor insurance premiums and compensation calculations for UK insurers.

Motor premiums in England and Wales are set to fall by an average of 5 percent per policyholder following a government review of the personal injury discount rate (PIDR), according to projections by PwC, which is expected to intensify competition in the motor insurance market.

German insurer Allianz, Belgium’s Ageas and London-listed Sabre have been tipped as the firms most likely to benefit from potential consolidation in the UK motor insurance market, according to Berenberg.

The Alberta government announced last week that it seeks to overhaul the province’s auto insurance systems by introducing rate hikes and switching to a limited no-fault claims model by 2027, with insurers expressing their intention to work alongside the legislators.

Morgan Stanley analysts have suggested that multiple developments during the third quarter mean the investment thesis for the P&C space has become less clear, with more questions than answers.

Underwriting results in the US private passenger auto insurance segment has shown further stabilisation in first-half 2024 following improvements in 2023, according to AM Best, which has revised its outlook on the personal auto segment to stable from negative.

Providence Mutual has entered into an agreement to allow for the transfer of auto insurance business in Connecticut and New Hampshire to Plymouth Rock Assurance, as part of the former’s exit from the auto line.