COMMERCIAL INSURANCE UPDATES
MARKET OVERVIEW
The market is experiencing a “softening hard market”—Property rates are moderating, but most Casualty sectors remain firm and Professional Liability is competitive. Catastrophic weather events, inflation, and rising claims costs continue to drive strict underwriting discipline.
“Brokers and agents have a responsibility to act as risk engineers on behalf of their clients so that they are not underinsured.”
Obie Scott Associate Managing Director Burns & Wilcox, Sacramento,
CA
Assault & Battery and Firearms exclusions are more common, especially for large residential complexes and venues hosting large gatherings.
Carriers favor insureds who implement risk mitigation strategies, such as shortening liquor service hours, increasing food-to-alcohol sales ratios, and limiting live entertainment.
CANNABIS
Cannabis coverage remains almost entirely within the E&S market due to regulatory complexity and federal classification.
E&S providers offer tailored solutions for cannabis professionals, including growers, shippers, logistics, and dispensary retailers.
Securing coverage in the standard market is challenging; Burns & Wilcox offers access to top markets and specialized products for this sector.
ENVIRONMENTAL
New carriers are driving competition, especially for Contractor Pollution Liability.
Excess capacity is shrinking due to rising claims.
Emerging risks like mold and legionella are reshaping carrier appetites and policy terms.
TRANSPORTATION
Commercial Auto rates are rising, driven by inflation, litigation, and a shortage of experienced drivers.
Premium relief is available for insureds using safety technologies and telematics.
PARAMETRIC
Parametric coverage is gaining traction as a flexible solution for weather-driven property losses. Policies offer pre-determined payouts when event thresholds (e.g., wind speed, flood level) are met, enabling faster access to funds after a catastrophe. Burns & Wilcox partners with leading parametric providers to help clients evaluate and implement these solutions as part of comprehensive risk management.
SPECIALIZED SOLUTIONS
Burns & Wilcox clients benefit from access to affiliated companies— Atain and RB Jones—which provide specialized coverage, underwriting, and claims expertise across Commercial lines.
Burns & Wilcox Global Solutions specializes in brokerage and contract binding with Lloyds syndicates and London markets for complex risks. Leveraging these partnerships ensures clients have innovative solutions and comprehensive coverage for emerging and challenging risks.
