US Personal Lines Return to Underwriting Profitability in 2024 Driven by Rate Increases and Claims Moderation

In 2024, the U.S. personal lines insurance sector returned to underwriting profitability, driven by a moderation in claims severity, stable claims frequency, and significant premium rate increases. Fitch Ratings highlights these factors as key contributors to premium growth and improved financial results for insurers in the personal lines market. This shift indicates a favorable operating environment compared to previous periods marked by underwriting losses and adverse claims trends.