Skip to main content

Digital report

Pacific Insurance Market Rates

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

Q1 2024

Pacific rates decrease, led by financial and professional lines

Insurance rates in the Pacific region declined 2% in the first quarter of 2024. 

Pacific first quarter 2024

Pacific composite insurance rate change 

Pacific property

Property rates stabilise

Property insurance rates were flat for the second consecutive quarter, following 26 quarters of increases.

  • Insurers were actively seeking new opportunities.
  • Clients with risk improvements or histories with no or limited losses typically experienced better outcomes.
  • Long term agreements (LTAs) were offered to some organisations, generally with reductions in year two.
  • Organisations with histories of significant losses and large natural catastrophe exposures generally saw greater increases, as did those facing certain macro issues, such as those related to environmental, social, and governance (ESG).   

Pacific casualty

Casualty rates decline for fourth consecutive quarter

Casualty insurance rates rose 3%.

  • Insurers deployed new capacity, contributing to improved results and increased options for buyers.
  • Underwriting scrutiny continued, particularly in areas such as contractor injury, US exposures, and per- and polyfluoroalkyl (PFAS) substances. 

Pacific financial and professional lines 

D&O rate decline moderates

Financial and professional lines rates decreased 10%. 

  • Directors and officers (D&O) liability insurance continued to decline.
  • The number of new market entrants slowed.
  • LTAs were offered to some companies.
  • The first class-action lawsuit related to artificial intelligence has been commenced, leading to increased scrutiny on clients' disclosures and use of AI.

Cybersecurity controls remain a key to rates

Cyber insurance rates declined 2%.

  • Greater competition among insurers led to more coverage and retention options.
  • Underwriters focused on supply chain risk, dynamic privacy regulations, and the continued threat of ransomware.
  • Clients showed interest in exploring cyber property damage cover.
  • Underwriters continued to scrutinise risk management and cybersecurity controls, especially regarding the mitigation of ransomware threats.

New Zealand Insurance Market

It is important to note that reported rate changes are averages and that the data used to estimate the changes cover a wide range of clients in terms of size, industry, location, claims history, and other parameters. Many clients received rate changes that deviated from the average, some higher and some lower.

  • In New Zealand, many clients continued to experience property insurance rate increases; however, the pace of increases has moderated. Underwriters remained focused on CAT-exposed and flood-impacted locations. 

  • In New Zealand, declines in D&O rates typically were not as steep as in Australia.


This document and any recommendations, analysis, or advice provided by Marsh (collectively, the ‘Marsh Analysis’) are not intended to be taken as advice regarding any individual situation and should not be relied upon as such. This document contains proprietary, confidential information of Marsh and may not be shared with any third party, including other insurance producers, without Marsh’s prior written consent. 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 the Marsh Analysis could be materially affected if any underlying assumptions, conditions, information, or factors are inaccurate or incomplete or should change. The information contained herein is based on sources we believe reliable, but we make no representation or warranty as to its accuracy. Except as may be set forth in an agreement between you and Marsh, Marsh shall have no obligation to update the Marsh Analysis and shall have no liability to you or any other party with regard to the Marsh Analysis or to any services provided by a third party to you or Marsh. Marsh makes no representation or warranty concerning the application of policy wordings or the financial condition or solvency of insurers or re-insurers. Marsh makes no assurances regarding the availability, cost, or terms of insurance coverage. LCPA 24/187