Q1 2025
UK rates decline overall, casualty increases
Insurance rates in the UK declined 6% in the first quarter of 2025.
UK first quarter 2025
UK composite insurance rate change
UK property
UK property insurance rates decline; insurer capacity increases
Property rates decreased 6% as competition remained strong in a dynamic insurance market.
- Competition strengthened for high-risk trades where strong risk management practices can be demonstrated.
- Insurers pursued growth ambitions, focusing on new business, organic growth on existing placements, and retaining positions on current accounts.
- Discussions around cyber clauses remain a key topic among insurers.
- Long-term agreements (LTAs) were commonly available, often with built-in reductions in year two or three.
- Early access to markets remained a crucial advantage for clients, enabling them to strengthen their position in negotiations.
UK casualty
Casualty rates increase, driven by motor liability
Casualty insurance rates increased 1%; excluding motor liability, casualty rates decreased 5%.
- The motor insurance market experienced an 8% rate increase.
- Inconsistent approaches to renewals and new business were observed, with sectors like passenger transport and logistics facing regular increases, while private car and van fleets experienced significant competition.
- Care inflation reached 25% due to provider shortages, impacting individual injury claims.
- Car theft remained a concern.
- Insurers emphasized the importance of maintaining accurate Motor Insurance Database (MID) records to avoid unwarranted claims exposure from disposed vehicles.
- In general liability and employer’s liability, insurers focused on growth, creating an increasingly competitive environment, particularly for companies with minimal US exposure.
- Insurers typically looked to include broader coverage options as a way to differentiate their offerings.
- LTAs were commonly available.
UK financial and professional lines
Financial and professional lines rates decline
Financial and professional lines rates declined 10%.
- Directors and officers (D&O) liability rates declined between 5% and 10%.
- Capacity and competition remained abundant in the financial institutions (FI) market.
- Rate reductions in the crime insurance market slowed, nearing flat levels.
Cyber insurance rates continue to decline
Cyber insurance rates decreased 8%.
- In the first quarter, 78% of cyber clients received rate reductions as insurer competition increased.
- 26% of clients opted to add to their limits.
Our rates reflect the segment mix of Marsh’s client portfolio.
Explore the report
Global Insurance Market Index
US insurance rates
04/23/2025
Insurance rates in the first quarter of 2025 in the US declined by 1%.
Global Insurance Market Index
Europe insurance rates
Insurance rates in Europe declined 1% in the first quarter of 2025.
Global Insurance Market Index
Pacific insurance rates
Insurance rates in the Pacific region declined 8% in the first quarter of 2025.
Global Insurance Market Index
Asia insurance rates
Insurance rates in Asia declined 3% in the first quarter of 2025.
Global Insurance Market Index
Canada insurance rates
Insurance rates in Canada declined 3% in the first quarter of 2025.
