News
Reinsurance Market to Reach USD 629 Billion by 2030 as per a Report by Mordor Intelligence
According to Mordor Intelligence, the reinsurance market size continues to gain momentum, expanding from about USD 469.70 billion in 2025 and projected to reach nearly USD 629.7 billion by 2030, growing at a CAGR of 6.04%.
Increasing catastrophe-related claims, stricter capital and reporting requirements under IFRS 17, and a supportive pricing environment are reinforcing the critical role of reinsurance for primary insurers across regions. Improved pricing conditions have helped restore underwriting margins, while alternative capital is still adding capacity, albeit with greater investor discipline.
At the same time, rising demand for coverage in specialty lines such as cyber risk is pushing reinsurers to adopt digital tools, parametric solutions, and closer engagement with cedents to drive sustainable growth.
Natural Catastrophe Insured Losses Exceed $100 Billion for Sixth Straight Year
LA wildfires drive 2025 insured losses to $107 billion, with U.S. accounting for 83% of global total, according to Swiss Re Institute.
Insured losses from natural catastrophes reached $107 billion in 2025, marking the sixth consecutive year above the $100 billion threshold despite a 24% decline from 2024’s $141 billion, according to Swiss Re Institute.
The 2025 loss total was dominated by two primary perils: wildfires and severe convective storms, according to Swiss Re.
The Los Angeles wildfires in the first quarter became the costliest wildfire event in global history, generating $40 billion in insured losses alone. This unprecedented destruction resulted from a dangerous combination of extended hot, dry weather conditions and powerful winds colliding with increased development in wildland-urban interface zones where residential properties meet fire-prone landscapes, the reinsurer said.
Severe convective storms contributed an additional $50 billion to global insured losses, making 2025 the third costliest year on record for this peril after 2023 and 2024. The U.S. experienced intense tornado outbreaks in March and May, driving above-average tornado and wind reports, though hail remained near normal levels. In Europe, notable hailstorms struck in May and June, but losses stayed limited because the most severe activity hit areas with lower concentrations of valuable property.
Meanwhile, the Atlantic hurricane season proved unusually benign for insurers despite significant storm activity, Swiss Re said.
New bill aims to change NFIP's continuous coverage requirement
A new bill would allow homeowners to move more easily between private flood insurance coverage and National Flood Insurance Program policies, without enduring sticker shock.
Introduced by U.S. Reps. Kathy Castor (D-Fla.) and Maria Salazar (R-Fla.), the Continuous Coverage for Flood Insurance Act would allow policyholders to choose a qualifying private flood insurance plan without losing grandfathered rates under NFIP should they return to the federal program down the road.
The bill targets the NFIP’s continuous coverage requirement, which stipulates that homeowners must maintain uninterrupted flood insurance coverage in order to keep lower, subsidized rates.
Currently, only NFIP policies count as continuous coverage. If homeowners leave the program for private coverage and then come back, they might see a jump in premium.
Allowing more policies to count toward continuous coverage would give households more options when it comes to flood insurance.
The bill “empowers consumers with more options by allowing access to private flood insurance, without penalty,” Castor said in a statement. In coastal communities, “healthy competition can lower costs, expand the insurance pool and help bring down flood insurance rates.”
2025/2026: REVIEWS & OUTLOOK
2026 Home Insurance Predictions: A Turning Point for Premium Growth As Climate Risk and Technology Drive Change
Matic, a leading digital insurtech platform, today released its annual year-end trends and predictions report, analyzing key developments in the 2025 home insurance market and their implications for consumers and the housing market. Drawing on proprietary data from Matic-quoted and insured properties, the report examines trends in premium growth, coverage availability, and the role of technology in underwriting and risk management, while offering predictions for what’s ahead in 2026.
Report findings show that after several years of historically high rate increases, the home insurance market showed signs of stabilization in 2025. The average premium for a new policy rose 8.5% year over year, a notable slowdown compared to the 18% jump in 2024. While this moderation signals some relief, premiums remain at record levels, now representing roughly 9% of the typical homeowner’s monthly mortgage payment.
"Carriers are back to rate adequacy, technology is helping them assess risk more accurately, and calmer weather in the latter half of the year gave the market a chance to steady," said Ben Madick, CEO and Co-founder of Matic. "Even so, homeowners are still facing very high costs, and climate-related uncertainty will continue to drive pricing and affect affordability in 2026."
The report shows that more financial responsibility is shifting to homeowners. Average deductibles rose 22% in 2025, and insurers are increasingly scrutinizing property-specific risk factors, such as roof age. Advanced technologies, including AI-driven inspections, satellite imagery, and drone assessments, are helping carriers evaluate homes more accurately and price policies based on actual conditions rather than assumptions.
Commentary/Opinion
Nuclear Verdicts and Rising Costs: Inside the Motor Carrier Insurance Crisis - FreightWaves
The commercial trucking insurance market continues its tumultuous trajectory, with motor carriers facing mounting pressures from skyrocketing premiums, nuclear verdicts, and increasingly stringent underwriting requirements. Jackson Alexander, Executive Vice President of Sales at Reliance Partners sat down with FreightWaves to talk about how the industry is adapting to these challenges and what strategies are proving effective for carriers navigating this difficult landscape.
The insurance industry has witnessed a dramatic shift in litigation outcomes over the past decade, fundamentally altering the risk calculus for motor carriers and their insurers. The industry has experienced a staggering 235% increase in verdicts exceeding $1 million since 2012. A single accident can threaten the financial viability of an entire operation.
Alexander says that preparation and prevention are key to mitigating exposure to these potentially catastrophic outcomes. “Reliance Partners has our own in-house safety team comprised of former state patrol officers, DOT inspectors, and insurance loss control professionals,” he said. “We make this team of folks available for our clients to assist with implementation of safety procedures, improve CSA scores, and enforce best practices when it comes to risk management.”
The distinction between proactive and reactive approaches to safety management has become increasingly critical in defending against nuclear verdicts. Preparedness, according to Alexander, can influence both the likelihood of incidents and the outcomes of resulting litigation.
“Motor carriers that prove to be more proactive rather than reactive once an issue arises are much more well positioned to defend against nuclear verdicts,” Alexander said.
Soft pricing, lower yields: The twin pressures shaping carrier growth in 2026
As the US P&C market heads into 2026, insurance carriers are facing a familiar but increasingly difficult balancing act: sustaining value creation as both underwriting and investment tailwinds weaken.
Carriers best positioned to navigate this environment will be those that double down on disciplined underwriting, operational efficiency, and deeper alignment with distribution partners, according to findings from ACORD’s 2025 US P&C value creation study. The report analyzed the financial and strategic performance of the largest 100 US P&C insurers over a 20-year period.
Dave Sterner, senior vice president of research and development at ACORD, points to two converging pressures that will define 2026 for carriers: a shifting pricing cycle and declining investment income.
“We’ve got a pricing cycle that’s shifting, so we’re seeing more and more evidence of price softening across increasing numbers of lines of business,” Sterner said. “At the same time, on the investment side, we’re seeing reductions in interest rates.”
Announcements
Insurance Industry AI Demo Day Calendar Announced
Wells Media Group, Inc. today announced the 2026 Insurtech + AI Demo Day Events calendar, a lineup of virtual events featuring live demos of the AI and technology tools and innovations shaping the insurance industry.
The series is presented by the insurance industry's most trusted news and information brands: Insurance Journal, Carrier Management, and Claims Journal.
Nearly every insurance business has made exploring and adopting AI technology a core strategic initiative for 2026. At the same time, dozens of new tools and features come to market every month. Demo days allow insurance teams to quickly see solutions from both startups and established providers.
The popular Demo Day events feature fast-paced, back-to-back product demonstrations, so attendees can see real solutions in action—without sales pitches or wasted time. The format enables decision-makers to efficiently discover and evaluate emerging tools that can accelerate efficiency, profitability, and risk insight.
"Demo Days provide a chance to peek behind the curtain and see products in action," says Josh Carlson, CEO of Wells Media Group. "Attendees love that they get to see a bunch of tools in one afternoon instead of weeks of one-off demos."
The 2026 calendar includes events tailored to every major segment of the insurance ecosystem, with content relevant to insurance agency principals, wholesalers and MGAs, carrier executives, claims leaders, and risk managers.
"With so many tools that look and sound the same at a glance, we found tech leaders want to see tools actually working," says Josh Carlson, CEO of Wells Media Group. "Seeing a bunch of new ideas and possibilities is one of the best ways to find something that works for you. Then you know what's possible or see areas you can make better."
The 2026 lineup will feature Demo Days focused on topics such as Insurance CRMs, AI Tools for MGAs, Aerial Imagery & Geospatial Intelligence, AI Assistants, Fraud Detection, and additional areas impacting underwriting, claims, distribution, and risk management.
Insurance professionals can view the 2026 Demo Day calendar and register at no cost
Companies interested in presenting a live product demonstration at an upcoming event may contact demo@insurancejournal.com for more information.
InsurTech/M&A/Finance💰/Collaboration
Enlyte to Acquire PartsTrader, Complementing Mitchell's Auto Physical Damage Technology Solutions
Enlyte, a leader in technology, networks and services for the property and casualty industry, announced today it has entered into an agreement.
Strategic investment brings together industry-leading parts procurement marketplace with Mitchell's premier damage appraisal platform
Enlyte, a leader in technology, networks and services for the property and casualty industry, announced today it has entered into an agreement to acquire PartsTrader, the industry's leading parts procurement marketplace.
The acquisition represents a strategic investment that brings together two complementary businesses within the Auto Physical Damage ecosystem. PartsTrader will become a wholly owned subsidiary of Enlyte and will continue to operate as an independent entity alongside Mitchell's Auto Physical Damage division. Both organizations will maintain their distinct identities and operations while benefiting from the collective strength of the Enlyte portfolio. Both Mitchell and PartsTrader will continue as open platforms – allowing the choice of other information providers, as well as suppliers and other partners within the ecosystem.MORE
Skyward Specialty and Sixfold Partner to Advance AI-Powered Underwriting
Skyward Specialty Insurance Group, Inc.™ (Nasdaq: SKWD) ("Skyward Specialty" or "the Company"), a leader in the specialty property and casualty (P&C) market, and Sixfold (“Sixfold”), an AI underwriting company transforming insurance workflows, announce a strategic partnership to accelerate the Company’s progress toward fully AI-powered underwriting across its U.S.-based property and casualty lines.
This collaboration reinforces Skyward Specialty’s long-standing commitment to a more data-driven, insight-rich and operationally efficient underwriting organization. Sixfold’s AI platform pre-processes submissions and generates data-driven recommendations, including prioritization, appetite alignment, and risk summarization and assessment, while keeping underwriters firmly in the loop to apply their judgment and expertise, ensuring high-quality outcomes.
“We are several years into our AI-powered underwriting journey. Our focus is about elevating our people—giving underwriters stronger insights, faster access to information and liberating their time to focus on making exceptional underwriting decisions and delivering top-notch service to our broker partners,” said Andrew Robinson, Chairman and CEO of Skyward Specialty. “Our partnership with Sixfold, which is entering its second year, is another important step in this journey. The platform enhances underwriting insight, consistency, speed of analysis and response, and creates a virtuous learning loop that drives the best results while keeping human expertise at the center of underwriting decisions.
Fraud
‘Door Knocker’ Roofers Were Everywhere. NC Farm Bureau Saw an Opportunity
It began with “door knockers” – the all-too-familiar practice of roofing companies telling homeowners that they could get a new roof with little or no out-of-pocket expense.
North Carolina Farm Bureau Insurance, the second-largest property insurer in the state with some 500,000 policies in force, for years had fielded complaints that some roofers were actually causing damage to roofs to make it appear that wind or hail had caused the problem – just enough for the homeowner to file an insurance claim. One contractor went so far as to tell a policyholder that the insurance company actually wanted him to file a claim and get a new roof. It was one of many solicitation attempts at the same house in just a few months’ time.
But the state’s insurance commissioner explained at a conference that it is difficult to prosecute roofers unless they are caught in the act of mechanically or deliberately damaging the roof, Farm Bureau officials said.
That’s when Farm Bureau’s leadership approached the North Carolina Department of Insurance with an offer. The insurer had access to a home in Raleigh that could serve as a “bait house,” ideal for a sting operation, said Todd Childers, senior claims executive for the carrier. ARTICLE
Awards
Cambridge Mobile Telematics Receives Frost & Sullivan's 2025 Global Telematics Insurance and Connected Claims Market Leadership Recognition for Excellence in Mobility Ecosystem Innovation
CMT is honored for advancing crash technology and shaping the future of mobility ecosystems through industry-leading telematics, AI-driven insights, and connected claims innovation.
Frost & Sullivan is pleased to announce that Cambridge Mobile Telematics (CMT), the world's largest telematics service provider, has been given the 2025 Global Market Leadership Recognition in the telematics insurance and connected claims sector for its outstanding achievements in sustainability, driver engagement, behavioral improvement, operational efficiency, and social impact. This marks the second consecutive year CMT has earned Frost & Sullivan's highest recognition in this category. This recognition highlights CMT's consistent leadership in driving measurable outcomes, strengthening its market position, and delivering customer-centric innovation in an evolving competitive landscape.
Guided by a long-term growth strategy focused on building a mobility ecosystem and elevating customer engagement, CMT has shown its ability to adapt and lead in a rapidly evolving environment. The company's strategic agility and sustained investment in crash detection and mobile telematics innovation have enabled it to scale effectively across global markets, expanding its impact on road safety and insurance transformation worldwide. "Frost & Sullivan commends CMT for advancing crash detection technology with unmatched precision, expanding coverage through strategic integrations, and delivering scalable solutions that set new standards for safety and insurer value," states Parduman Satpal, Industry Analyst at Frost & Sullivan.
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