Credit: Andrii Zastrozhnov/Adobe Stock
For the sixth quarter in a row, global commercial insurance rates declined in the fourth quarter of 2025, according to Marsh's Global Insurance Market Index.
Global commercial rates were down 4% at the end of 2025, thanks to lower reinsurance costs and increased insurer capacity. New insurers entering the space have also increased competition.
Those conditions are allowing clients to not only take advantage of declining rates but also negotiate better terms and conditions.
By product line, property rates declined by 9% globally. Rates for financial and professional lines were down 4%. And cyber insurance rates decreased by 7%.
Casualty rates were the exception, with rates increasing 4% globally. That's largely due to a 9% increase in the United States, due to high frequency and severity of claims as well as large jury awards. Rates were flat in Latin America and the Caribbean, while other regions saw decreases of 1% to 9%.
Workers' compensation rates were also up 12% globally.
Prior to the last six quarters of declines, commercial rates saw seven years of increases.
"Overall, clients continue to benefit not only from declining rates but also from opportunities to negotiate improved terms and conditions," said John Donnelly, president of Global Placement. "Competition among insurers is expected to intensify, Barring an extremely large catastrophe loss, or series of losses, global rates will likely continue to trend downward."
Photo credit: Andrii Zastrozhnov/Adobe Stock
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