INDEPENDENTS INCREASE SHARE

An annual market share study by the Independent Insurance Agents & Brokers of America’s (IIABA) revealed that independent agents and brokers are capturing an increasing share of both the personal lines and commercial lines markets. In addition, the study confirmed that independent agents dominate the commercial lines market. The study was developed through a contract with A.M. Best Company to assess the state of the independent agency system using year-end industry market share and company-expense data. It showed the independent agency system finishing 2001 with a 74.96 percent share of the commercial lines market, up 1.71 points from the previous year. Independent agents and brokers wrote 82.22 percent of the commercial auto and 80.70 percent of the commercial multiple-peril markets, both up from 2000 figures. In personal lines, independent agents and brokers added 1.47 points of market share, taking them above the 35 percent mark for the first time in several years. This growth added $2.5 billion in written premium at the expense of captive-agent writers.

Correction The “Special Report: 2001 Market Share for Insurers in Texas,” by David Surles and Regina Anderson, that appeared in the Insurance Journal Texas/South Central, October 14, 2002; Vol. 8, No. 20 contained an error. In the box, “Homeowners: Five-Year Totals” on page 25, the Texas premium totals for the years 1998 and 1997 were incorrect. Those totals should have read $2,760.5 and $2,572.3, respectively. The dollar figures are in millions.

Topics Texas Agencies