Independent market share
in Kansas mirrors national trends
I
ndependent agents and brokers still control a
majority of the P&C market, writing nearly 57
percent of all premiums nationwide, according to
a new study commissioned by the Big I. That same
study shows independent agents maintaining a significant
advantage over direct and captive writers in the commercial
lines market, with independents holding onto 80 percent of
the market share.
regional independents see growth
Regional carriers who sell through independent agents are
seeing growth across all lines. In Kansas, regionals gained
1.82 points in commercial lines since 2012, claiming 27.7
percent of the commercial market in addition to 18.62
percent of the personal market. Nationwide, regionals
picked up 1.4 points. This continues an eight-year trend
that has national carriers down 4 percent and regional
carriers up 3 percent.
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national independents see decrease
Independent agents with national carriers wrote 45
percent of the commercial market nationwide, however
their share decreased 1.2 percentage points from 2012.
The Kansas market mirrors those numbers with national
carriers holding 44.63 percent of the commercial market,
but experiencing a 1.58-point decrease since 2012 and a
2.32-point decrease since 2011.
direct writers still face limitations
Though direct writers – like Geico – have done well in the
personal auto market, they have yet to translate that success
into other markets. Nationwide, direct writers wrote less
than 6 percent of the homeowners market and less than 1
percent of the commercial auto market. Similarly in Kansas,
direct writers hold 9 percent of the personal lines market
and less than 1 percent of the commercial market.
KANSAS INSURANCE AGENT & BROKER |March-April 2015|