Progressive

The executive noted in her shareholder letter yesterday that loss costs on average were up almost 18% from the same quarter last year.

Inside P&C’s morning summary of the key stories to get you up to speed fast.

Progressive’s response has been to take underwriting and non-underwriting actions and work with regulators to take more rate.

March’s CPI report shows elevated inflation levels, including vehicle CPI of 10.5% and average used car price increase of 24.7%.

Insurance carriers tailor their comments to leave investors walking away with an optimistic view.

While vehicle miles traveled dipped in January, likely due to the Omicron variant, the auto insurer said February’s preliminary results indicate a rebound and frequency is expected to rise.

The insurer’s net premiums written in personal lines also increased by nearly $3bn to $36.2bn for 2021.

The latest report shows even higher inflation pushing up severity, forcing carriers to take rate.

Data from Apple and Google show that Omicron has slowed the return to driving in some of the largest states by premiums.

Johnson’s departure follows the deal in which auto firm Progressive Corporation acquired the Indiana-based insurer for $338mn.

Commercial lines loss ratios may move slightly higher, while personal auto carriers see the light at the end of the loss-cost tunnel.

The Inside P&C research team looks forward to the big issues of the new year.