Your Daily Insurance Industry Briefing

Global Commercial Insurance Rates Continue Decline Amidst Sector-Specific Pressures and Rising Claims Severity

• Global commercial insurance rates declined by 5% in the first quarter of 2026, marking the seventh consecutive quarter of decreases, according to Marsh's Global Insurance Market Index. This downward trend was supported by significant insurer capacity and increased competition, leading to a 9% drop in property rates and a 5% decrease in cyber insurance rates.

  Marsh

• Despite a quieter storm season in 2025, average residential roof replacement costs surged to a record $17,631, a 33% increase over the prior four-year average, according to the 2025 Verisk US Roof Report. This surprising rise in claims severity, even with falling overall claims volume, indicates an underlying upward cost trajectory, prompting insurers to increasingly use satellite imaging, drones, and AI for property-specific pricing.

  Insurancebusinessmag

• The overall insurance market for financial institutions remains broadly competitive, yet underwriters are exercising greater selectivity and tightening terms in high-risk areas like casualty, crime, and catastrophe-exposed segments. Generative AI adoption is also reshaping underwriting conversations, with institutions demonstrating clear AI governance frameworks seeing smoother renewals.

  Riskandinsurance