US brokers’ predictions that current soft market trends will continue for another two years have been supported by analysis group MarketScout.

Its latest report, released last week, forecasts a further 4% drop in US commercial property and casualty insurance rates.

Larger accounts are receiving even bigger reductions of up to 5%.

General liability – considered to be the most competitive line – has also fallen 5%.

MarketScout CEO Richard Kerr says a lengthy soft market coupled with the recession was creaking “a lot of pain for everyone – insurers, reinsurers, agents and brokers”.

“Small agents trying to take business away from larger agents may find intermediaries or insurers willing to accept accounts because of the market pressure,” he said.

“Everyone is fighting and scratching for market share… if the rates don’t go up soon and the economy remains in the doldrums, the fighting will only get worse.”