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Canada Insurance Market Rates

The Global Insurance Market Index is our proprietary measure of commercial insurance rate changes at renewal. Below are insights into the Canadian insurance market. 

Q1 2025

Canada insurance rates decline in all major product lines

Insurance rates in Canada declined 3% in the first quarter of 2025.

Canada first quarter 2025

Canada composite insurance rate change 

Canada property

Property insurance rates decline, capacity ample

Property insurance rates declined 3%, reflecting an increasingly competitive market.

  • Ample capacity led to greater insurer competition; clients typically secured additional coverage limits.
  • Established insurers expanded offerings, while new entrants aggressively pursued new clients.
  • Clients with risk profiles and loss histories viewed favorably by insurers experienced rate reductions up to double digits; those viewed less favorably saw minimal reductions.
  • Clients already benefiting from competitive pricing typically experienced modest rate decreases.
  • Insurer appetite for business led to concessions in sub-limits, deductibles, and restrictive endorsements.

Canada casualty

Casualty rates continue to decline

Casualty insurance rates decreased 2%.

  • Insurers sought modest rate increases; however, they faced significant growth targets, necessitating a balance between achieving rate adequacy and retaining existing clients.
  • Insurers were generally cautious managing limits within umbrella layers; at the same time there was a notable effort to deploy more capacity in excess layers. Traditional excess insurers showed interest in lower attachment points.
  • More complex risks — including in heavy industry, energy, and US-exposed companies — experienced higher rate increases.
  • Canadian clients with US exposure typically experienced less favorable rates. However, access to the Canadian market at times provided an increased number of competitive options.
  • The US auto liability insurance market — to which many Canadian companies are exposed — experienced claims rising into umbrella and excess layers; non-owned auto and third-party hauling exposures received greater underwriting scrutiny.
  • Exclusions for per- and polyfluoroalkyl substances (PFAS) were difficult to avoid. Organizations with known exposures benefitted from demonstrating commitments to clear plans to reduce usage.
  • Other exclusions and sub-limits varied by risk class and included climate change, wildfire, failure to supply (energy/utilities), mental anguish, concussion, sexual abuse, and biometrics, human trafficking, and cyber risk.

Canada financial and professional lines

Financial and professional lines rates decline

Financial and professional lines rates declined 3%.

  • The directors and officers (D&O) liability insurance market was at an inflection point, with some capacity constriction outside Canada and Canadian insurers showing a stable appetite.
  • Excess insurers were interested in dropping down on towers in some cases.
  • Some insurers sought new business in clients’ ancillary lines to diversify their portfolios.
  • Prudence of investment choices emerged as a key underwriting theme, shifting focus from fiduciary excessive fee litigation.
  • Employment practices liability (EPL) rates and exposure remained stable.

Cyber rates decline, coverage expands

Cyber insurance rates decreased 6% as capacity continued to increase.

  • Clients used the competitive market to enhance coverage and reduce retentions, often resulting in flat premiums when improvements were made.
  • Lower excess layer rates contributed to overall program savings; reductions of 3% to 10% were common when primary layers renewed flat.
  • Coverage expanded as coinsurance requirements were removed in many cases and sub-limited enhancements increased. Organizations with improved cybersecurity controls were typically able to negotiate lower retentions.

Our rates reflect the segment mix of Marsh’s client portfolio.

Regional analysis

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Global Insurance Market Index

Global Insurance Market Index

04/23/2025

The Global Insurance Market Index is our proprietary measure of global commercial insurance rate change at renewal — providing insights on the world's major insurance markets.
Aerial view of the Bay Bridge in San Francisco, CA

Global Insurance Market Index

US insurance rates

04/23/2025

Insurance rates in the first quarter of 2025 in the US declined by 1%.
Skyline of London over Tower Bridge on the Thames

Global Insurance Market Index

UK insurance rates

04/23/2025

Insurance rates in the UK declined 6% in the first quarter of 2025.
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Global Insurance Market Index

Latin America and Caribbean insurance rates

Insurance rates in the LAC region decreased 2% in the first quarter of 2025.
Berlin, Germany viewed from above the Spree River.

Global Insurance Market Index

Europe insurance rates

Insurance rates in Europe declined 1% in the first quarter of 2025.
Beautiful aerial view of the Sydney Opera house by the bay in Australia. Panoramic view.

Global Insurance Market Index

Pacific insurance rates

Insurance rates in the Pacific region declined 8% in the first quarter of 2025.
Shanghai skyline at night

Global Insurance Market Index

Asia insurance rates

Insurance rates in Asia declined 3% in the first quarter of 2025.
Skyscrapers in Abu Dhabi, United Arab Emirates.

Global Insurance Market Index

India, Middle East, and Africa insurance rates

04/23/2025

Insurance rates in the first quarter of 2025 decreased 4% in the IMEA region.

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