Commercial lines premiums in the US have continued their decline, according to second quarter renewals data in the latest Risk and Insurance Managers Society (RIMS) benchmark survey.

It shows directors' and officers' liability premiums fell an average of 7.29% over the 12 months to June 30. Workers' compensation rates dropped 1.82% and general liability premiums fell 1.16%. There was no significant change in the cost of property insurance over the survey period.

RIMS Secretary Joseph Restoule says that last point will be one small but important positive for the industry. "The good news for risk managers is that property insurance has turned a corner," he said.

But the statistics show little else to smile about.

"Premiums have been falling in most lines since the end of 2003," Mr Restoule said. "However, hurricane season is now under way, and forecasters predict it will be a worse than average year."

While nobody is looking forward to it, severe catastrophe losses would be expected to send property premiums shooting higher and could also cause the overall soft market to come to a halt.