U.S. commercial property/casualty insurance rates fell an average 4% in September, MarketScout said Tuesday.

The Dallas-based electronic insurance exchange found that the larger the account, the greater the decline, accounts generating more than $1 million in premium enjoying the largest rate decreases.

General liability was the most competitive line of coverage with an average rate reduction of 5%.

“Without question, a lengthy soft market coupled with the recession is creating a lot of pain for everyone: insurers, reinsurers, agents and brokers,” MarketScout CEO Richard Kerr said in a statement accompanying the report. “Small agents trying to take business away from large agents may find some intermediaries or insurers unwilling to accept accounts because of market pressure.”

“In this market, he or she who controls the most premium sometimes makes the rules,” Mr. Kerr in the statement. “We don’t feel that is good practice because it isn’t in the best interest of the insured; however, it does happen. Everyone is fighting and scratching for market share. If rates don’t go up soon and the economy remains in the doldrums, the fighting will only get worse.”

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