COMMENTARY
Briefing: Commercial Lines Outlook Remains Negative as Margins Remain Under Pressure; Personal Lines Remains Stable

Although the commercial lines segment’s aggregate results over the past several years have been relatively solid, A.M. Best maintains its negative outlook for the sector, which indicates the expectation of more downgrades than upgrades in the coming year. This outlook largely reflects the same concerns that have been prevalent for some years now – moderation and declines in commercial lines pricing, the potential for adverse loss-reserve development, and low investment yields.