The Workers’ Comp. marketplace is the sixth-largest line of insurance in the U.S.
The National Association of Insurance Commissioners has issued its annual Market Share Data Reports for both the Property & Casualty Insurance Marketplace, as well as for the Life & Fraternal Insurance Marketplace. As in the past, the data offered here reflects a compiled list of market share data based upon filings of countrywide premium submitted to the NAIC from Property & Casualty insurers as reported on the State Page of the NAIC’s annual statement for insurers.
The data is then compiled and included in various reports on cumulative market share data for the seven major lines of insurance in the United States: All Lines; Private Passenger Personal Auto; Commercial Auto; Workers’ Compensation; Medical Professional Liability; Homeowners’ Multi-Peril, and Other Liability (excluding auto liability).
Musings on this year’s Market Share Report
With approximately 98.54% of all filings having been submitted to the NAIC as of March 21, 2022, the total amount of Direct Written Premium for the U.S. insurance industry, All Lines, was $793,719,555,911. With respect to the Workers Compensation marketplace, the total amount of Direct Written Premiums for this line of insurance was $52,237,806,087 versus $51,030,257,326 last year.
According to these figures, the U.S. Workers Compensation Insurance marketplace ranks as the sixth-largest of the seven major lines of insurance in the U.S.
Looking at market share numbers, the top ten Workers Compensation Insurers claim a cumulative market share of 42.98%, while the top five insurers have a 26.51% cumulative market share and the top three with a 17.79% market share. Out of the top ten, three of the largest workers compensation insurers call New England home with the top two based in Connecticut: top-ranked Travelers followed by The Hartford and Boston-based Liberty Mutual which is the sixth-largest in the land.
For those interested in history, Liberty Mutual originally began over a hundred years ago as an entity to provide workers compensation company to workers in Massachusetts. It officially opened its doors on July 1, 1912. The photo to the right is of the company’s first insurance policy.
Market Share by Line of Business
A chart ranking the seven major lines of insurance by market share from data collected by the NAIC. The following is the total Direct Written Premium for each of these lines as of March 21, 2022.
The Top 25 Workers’ Compensation Insurers in the U.S.
|RANK||COMPANY NAME||DIRECT PREMIUMS WRITTEN ($)||DIRECT PREMIUMS EARNED ($)||DIRECT LOSS TO EP RATIO||MARKET SHARE (%)||CUMULATIVE MARKET SHARE (%)|
|2.||Hartford Fire & Cas. Group||3,293,688,775||3,225,540,314||46.09||6.31||13.10|
|3.||AmTrust Financial Serv. Group||2,449,895,718||2,194,528,595||45.57||4.69||17.79|
|4.||Zurich Ins. Group||2,354,376,108||2,340,174,596||51.62||4.51||22.29|
|5.||Chubb Ltd. Group||2,203,568,412||2,272,538,543||42.43||4.22||26.51|
|6.||Liberty Mutual Group||1,984,360,401||1,943,453,193||56.81||3.80||30.31|
|7.||Berkshire Hathaway Group||1,927,849,125||1,983,989,239||45.53||3.69||34.00|
|8.||State Ins. Fund||1,733,103,535||1,798,081,966||60.51||3.32||37.32|
|9.||BCBS of MI Group||1,667,442,495||1,749,357,816||52.32||3.19||40.51|
|10.||Old Republic Group||1,292,040,490||1,280,054,985||54.59||2.47||42.98|
|11.||State Compensation Ins. Fund||1,235,450,577||1,250,541,214||73.97||2.37||45.35|
|12.||American Financial Group||1,179,981,665||1,185,958,298||39.34||2.26||47.61|
|13.||WR Berkley Corp Group||1,139,400,982||1,125,472,113||52.19||2.18||49.79|
|14.||American Intl. Group||1,103,210,300||1,122,449,919||89.97||2.11||51.90|
|15.||Texas Mutual Ins. Co.||923,449,372||947,206,752||30.14||1.77||53.67|
|16.||CNA Ins. Group||842,969,839||825,821,385||41.06||1.61||55.28|
|17.||ICW Group Assets Inc. Group||835,665,426||824,101,925||46.91||1.60||56.88|
|18.||Fairfax Fin. Group||752,800,608||756,589,876||28.04||1.44||58.32|
|19.||Arch Ins. Group||655,835,115||655,360,719||45.56||1.26||59.58|
|21.||Markel Corp Group||585,006,210||549,693,281||46.52||1.12||61.83|
|22.||Employers Holdings Group||582,607,866||573,989,683||45.58||1.12||62.94|