The Surplus Lines Stamping Office of Texas (SLTX) recorded a record-breaking $884.75 million in surplus lines insurance premium for May, with a total of $3.63 billion year-to-date.
This results in a 14.5% increase in premiums over May 2020, and a 14.2% increase in YTD premiums when compared to the same period in 2020.
May 2021 is the largest single-month ever reported in SLTX’s 33-year history, exceeding the $772.88M record set in May 2020 by nearly $112 million. May premium also exceeds SLTX’s most recent record-breaking month (March 2021) by more than $7 million.
Various lines of business experienced notable growth over May 2020, with the largest increase attributed to Excess /Umbrella coverage, which rose almost $28 million(or 23.9%). Additionally, Commercial Auto Liability coverage reflected a $24 million (or 132.3%) increase over the same period. Roughly 47% of total premium increases from May 2021 over May 2020 can be attributed to these two coverages. Please note that these calculations are for a single-month period and do not necessarily indicate a market trend.
May 2021 reflected an 8.5% increase in the overall number of transactions filed (90,794) over the same period in 2020, resulting in a 0.5% decrease in the overall transactions filed YTD. This same period also reflected a 4.1% increase in policies filed (61,441), and yet even with this and earlier month’s increases, resulted in a 3.4% decrease in policies filed YTD.
Continuing with the YTD trend, the majority of the premium reported in May can be attributed to renewal policies (61%) yet accounted for only 37% of the items reported. Secondarily, 36% of premium (and 30% of the items) reported is related to new business while the remaining 3% is a result of non-policy transactions such as endorsements, cancellations, audits, installments, etc.
Originally posted at: https://www.insurancejournal.com/news/southcentral/2021/06/07/617633.htm