Skip to main content
Marsh logo

Global Insurance Market Update

UK Pricing Q1 2022

Insurance pricing in the first quarter of 2022 in the UK increased 20%, compared to 22% in the fourth quarter of 2021.

25/04/2022 · 3 minute read

Rate of increases in all major coverage areas decelerate

Insurance pricing in the first quarter of 2022 in the UK increased 20%, compared to 22% in the fourth quarter of 2021.

Constant bar chart represents Global Insurance Composite Pricing Change.

Property insurance pricing increased 9%, compared to 10% in the fourth quarter of 2021.

  • Significant pricing increases were largely imposed on clients with major loss activity or a challenging occupancy or business process, such as food production, warehousing, or waste recycling.
  • Insurers have moved from seeking to impose blanket price increases to targeting specific areas of the book they believe are underpriced or impacted by loss.
  • Insurers demonstrated a greater ambition to grow their books to take advantage of the current rating environment.

Casualty insurance pricing increased 3%, compared to a 4% increase in the prior quarter.

  • Employers’ liability pricing was similar to that of the prior quarter.
  • Electric vehicles (EV) impacted the auto insurance market significantly, with damage repair costs on electric vehicles running approximately 25% higher than cars with internal combustion engines; parts are hard to source and EV repair specialists in short supply.
  • Insurers continued to target rate uplifts in the casualty market, with the main driver being claims inflation; however, the level of uplift continues to be on a case-by-case basis.
  • Long-term agreements were more readily available, including three-year options, which were previously difficult to secure.
  • Sanctions, cyber, and non-standard coverages continued to be challenging; providing additional underwriting information remains vital to finalising placement.

Financial and professional lines pricing, driven by cyber, increased 39%, continuing the decline from the 43% rise in the fourth quarter of 2021.

  • The rate of increase for D&O was 16% in the first quarter, compared to 24% in the fourth quarter of 2021, demonstrating a degree of moderation.
  • Clients impacted by increased risks during the pandemic saw sizeable reductions, though some small- to mid-size enterprises still experienced increases.
  • Some financial Institution clients experienced flat rates, and in some cases, small rate reductions.
  • Cyber insurance pricing increased by 102%, again driven by ransomware claims; with continued market deterioration and reduction in capacity, many clients turned to self-insured retention, as well as co-insurance.
  • Commercial crime coverage pricing increased 25% to 30%.

Global Insurance Market Index – 2022 Q1

Download full report

Explore the report

Panorama of Chicago

Global Insurance Market Index

US Pricing

Insurance pricing in the first quarter of 2022 in the US increased 12% — a slight reduction on the same rate of increase compared to the prior two quarters.
Placeholder Image

Global Insurance Market Index

Latin America and Caribbean Pricing

Insurance pricing in the first quarter in the Latin America and Caribbean (LAC) region increased 6%.
Panarama of the mountains, snow and blue glacial ice of the Smeerenburg glacier, Svalbard, and archipelago between mainland Norway and the North Pole. An inflatable boat is anchored in the foreground.

Global Insurance Market Index

Continental Europe Pricing

Insurance pricing in the first quarter of 2022 in Continental Europe (CE) increased 6%, compared to 9% in the fourth quarter of 2021.
January 10, 2019. Sydney, Australia. Landscape aerial view of Sydney Opera house near Sydney business center around the harbour.

Global Insurance Market Index

Pacific Pricing

Insurance pricing in the Pacific region increased 10%, down from 13% in the prior quarter and the fifth consecutive quarterly reduction in rate increase.
beautiful nanpu bridge at dusk,crosses huangpu river,shanghai,China

Global Insurance Market Index

Asia Pricing

Insurance pricing in the first quarter of 2022 in Asia increased 3%, down from 4% in the prior quarter, as price increases continue to moderate.