As you start the New Year here are some thoughts on what agents should expect in first quarter of 2024:
Consumers continue to seek savings with the rising cost of insurance. Rising consumer debt and increased delinquency are signs consumers are in need of your help. Limited markets and rising rates make agents more valuable than ever.
Expect underwriting to continue to tighten as carriers have limited capacity and must control their new business in first quarter.
Expect higher rates as bodily injury costs continue to climb in Texas.
Expect carriers and MGAs to be more selective on appointments and to underwrite at the agency level. This is an important time to teach your staff diligent underwriting practices or it could jeopardize appointments.
The improvement in loss ratios may help the current limited capacity for carriers from reinsurers as we go through the year. Expect a leveling in rates and market options in mid to late 2024.
Next week will provide some market indications as January 1 reinsurance renewals will be complete.
First quarter 2024 is a good time to advertise and inform agents of how you can help them save post holidays.