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US Insurance Market Rates

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

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Q3 2026

US composite rate down 1%; casualty and financial lines register increases

Composite insurance rates in the US decreased in the third quarter, led by a 10% decline in property, while casualty and financial and professional lines increased and cyber remained flat.

US composite insurance rate change 

US property

US property rates decline further with terms and coverage improvements

Property insurance rates declined by 10% in the third quarter, following a 13% decline in the prior quarter.

  • Catastrophe-driven programs, typically those with more than US$1 million in premium, saw average year-over-year rate declines of 13%, while non-catastrophe programs, typically those below US$1 million in premium, declined 9%. Multi-carrier/layered programs, or those with premiums above US$1 million, declined 10%, while single carrier/layered programs, or those with premiums below US$1 million, declined 9%.
  • Capacity expanded with strong insurer results, favorable reinsurance terms, and capital inflows. There were high levels of competition across sectors and regions.
  • Both pricing relief and broader coverage were available, with insurers offering catastrophe deductible caps, higher limits, and revised policy terms to help offset rate compression.
  • Insurers generally showed greater flexibility on structure and capacity deployment, with valuation and submission thresholds easing amid greater reliance on historical data and alternative information.
  • Cyber exclusions largely remained in place.
  • Insured losses in the first three quarters of 2026 trended below 10-year averages.
  • Insureds that continued to invest in risk mitigation, insurer relationships, good practices around valuation, and process improvement were best positioned to secure stronger structure, pricing, and terms.
  • A major event, or multiple events, materially above expectations that trigger treaty reinsurance programs could slow or reverse the current dynamics.

US casualty

Casualty rates rise with selective capacity deployment

Casualty insurance rates increased by 6%, compared with a 7% rise in the prior quarter, with auto and umbrella/excess leading the increases.

  • Overall capacity remained sufficient, with high levels of competition in workers’ compensation; auto and umbrella excess faced more challenging conditions. The umbrella/excess market saw support from new managing general agent (MGA) capacity even as direct market capacity declined.
  • Excluding workers’ compensation, rates increased by 9%. In workers’ compensation, insurers sought new accounts and aimed to retain existing clients.
  • Auto remained challenging, particularly when not supported by other lines, with high single-digit increases common and double-digit pressure seen on standalone placements. Auto insurers continued to face persistent profitability challenges, and loss ratios have remained above 100% for more than a decade.
    • Clients increasingly relied on program structure and higher retentions to help manage auto premium increases, while better outcomes were generally achieved when auto and workers’ compensation were written by the same insurer.
  • General liability capacity remained available, although insurers appeared cautious, with policy terms under scrutiny, particularly around AI exclusions.
  • Risk-adjusted umbrella/excess rates increased 13%, compared with a 15% rise in the second quarter, while traditional umbrella/excess rates rose 8%, compared with 11% in the second quarter.
    • Overall umbrella/excess capacity remained available, but with declining direct market capacity. While new MGA capacity was available, line sizes remained smaller compared with traditional capacity.
    • Human trafficking, sexual misconduct liability, and third-party hauling were more challenging exposures to cover. There was focus on ethylene oxide (EtO) — a gas widely used for sterilizing medical devices and producing chemicals —  as communities and workers filed lawsuits alleging that long-term emissions cause cancer and other health issues.
    • Policy structures shifted as insureds increased attachment points and reduced overall limits purchased.
    • Market stability improved in some segments, but volatility remained in areas such as trucking, habitational, and hospitality.

US financial and professional lines

Financial and professional lines see modest rate increases

Financial and professional lines rates increased by 1%, the same as in the second quarter. The US was the only region where financial and professional lines rates increased.

  • Directors and officers (D&O) liability rates increased by 1%, while insurers generally reduced capacity.
    • Flat renewals remained the norm unless claims activity or recent transactions changed the risk profile.
    • Insurers generally pressed for single-digit premium increases on both primary and excess layers, while high excess layers remained difficult to place, and many insurers declined participation in top ABC layers.
    • Insurers continued to reassess their appetite for large market-cap risks, and completing large towers often required bringing in insurers from across the US, Bermuda, and London.
    • Interest in Side A layers remained, with insurers willing to move down programs.
  • Professional liability rates increased by 1%, the same as in the second quarter.
  • Rates for financial institutions increased by 1%, compared with a 1% decline in the prior quarter.
  • Fiduciary rates increased by 1%, compared with a 4% increase in the prior quarter, with the change mainly due to the mix of companies renewing their fiduciary program this quarter.
    • Employee Retirement Income Security Act (ERISA) 401(k) litigation and new claims theories, including improper investment allegations, continued to drive defense, witness, and plaintiff costs.
    • Some insureds considered higher limits in response to the risk of multiple unrelated claims in a single year, while new insurers offered lower retentions and bundled fiduciary and D&O coverage.

Cyber rates flatten following a prolonged run of declines

Cyber insurance rates were flat in the third quarter, following 13 straight quarters of decreases.

  • Direct insurer capacity remained stable despite continued cyber market consolidation. New insurtech MGAs, which are using AI for submission intake and underwriting efficiency gains, added capacity for small businesses.
  • Some insurers introduced clarifying AI endorsements positioned as enhancements, with clients needing to assess the potential impacts of the wording based on current or future uses.
  • Third-party software and vendor risk remained a top concern following high-profile incidents affecting thousands of downstream organizations.
  • Music copyright infringement claims continued to drive losses under the media insuring agreement of cyber policies, affecting cyber loss ratios.
  • Non-breach privacy claims continued to rise as expanded privacy rights and older laws were applied to newer use cases, such as website tracking. Insurers continued to monitor this exposure closely.

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

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Regional analysis

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Global Insurance Market Index

10/21/2026

The Global Insurance Market Index (GIMI) is our proprietary measure of global commercial insurance rate change at renewal — providing insights into the world's major insurance markets.
Skyline of London over Tower Bridge on the Thames

Global Insurance Market Index

UK insurance rates

10/21/2026

Insurance rates in the UK declined by 8% in the third quarter.
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Global Insurance Market Index

Latin America and Caribbean insurance rates

10/21/2026

Insurance rates in the region decreased 9% in the third quarter.
Berlin, Germany viewed from above the Spree River.

Global Insurance Market Index

Europe insurance rates

Insurance rates in Europe declined 6% in the third quarter.
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 12% in the third quarter.
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Global Insurance Market Index

Asia insurance rates

Insurance rates in Asia declined 6% in the third quarter.
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Canada insurance rates

Insurance rates in Canada declined 6% in the third quarter.
Skyscrapers in Abu Dhabi, United Arab Emirates.

India, Middle East, and Africa insurance rates

Insurance rates in the third quarter decreased 14% in the IMEA region.

Previous reports

This publication is not intended to be taken as advice regarding any individual situation and should not be relied upon as such. The information contained herein is based on sources we believe reliable, but we make no representation or warranty as to its accuracy. Marsh shall have no obligation to update this publication and shall have no liability to you or any other party arising out of this publication or any matter contained herein. Any statements concerning actuarial, tax, accounting, or legal matters are based solely on our experience as insurance brokers and risk consultants and are not to be relied upon as actuarial, accounting, tax, or legal advice, for which you should consult your own professional advisors. Any modelling, analytics, or projections are subject to inherent uncertainty, and any analysis could be materially affected if any underlying assumptions, conditions, information, or factors are inaccurate or incomplete or should change.

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