The outlook for commercial insurance buyers continues to improve as we enter the second half of 2022. After several years of increasing rates across almost every segment of the commercial space, most insurers are reporting strong earnings and healthy balance sheets. This is leading to some more competitive pricing in the market, especially for high quality risks.

Looking more closely at each segment of the commercial market, buyers can expect the most relief in the D&O segment. This environment changed quickly through the second quarter, and most publicly traded companies can expect decreasing premiums at renewal. Corporate earnings remain strong, which gives underwriters more confidence in offering competitive quotes. Also, the volatile financial markets have significantly slowed IPO activity in 2022. Insurers that grew new business in the 2021 IPO boom are now looking for other places to grow, and publicly traded D&O buyers are experiencing the benefit of this increased competition.