Amid Market Shifts and Rate Fluctuations, Signs of Stability Emerge
Some coverages that saw sharp increases in previous years—like select property risks, cyber and professional liability—are stabilizing, with flat to modestly lower renewal rates for well-managed risks.
Greater insurer competition is helping with rate stabilization, particularly in property insurance. Favorable reinsurance pricing is giving carriers more flexibility in underwriting. However, April and July reinsurance renewals will be pivotal in shaping market conditions for the rest of 2025.
What’s Impacting Rates in Q1?
When you partner with HUB, you're at the center of a vast network of experts who will help you improve your profitability, enhance the vitality of your workforce and remain resilient into the future. For more information on how to manage your insurance costs, reduce your risk and take care of your employees, talk to your HUB advisor or visit hubinternational.com. We're here to help.
About HUB
Q1 Rate Report
Based on proprietary insurance premium data, HUB’s network of experts provides insights into the state of the insurance marketplace each quarter. Download our Rate Report to receive detailed rate insights and learn how insurance rates may impact your total cost of risk.
Learn About Us
Sitemap
Terms & Conditions
Privacy Statement
© 2024 HUB International Limited. 150 N Riverside Plaza, 17th Floor, Chicago, IL 60606. All rights reserved.
HUB Outlook 2025
Keep pace with the latest trends.
Stay in the Know
Subscribe
Learn more about us. Visit hubinternational.com
HUB Outlook 2025
Transportation
Real Estate
Nonprofit
Hospitality
Healthcare
Financial Institutions
Entertainment & Sports
Education
Construction
Cannabis
Agribusiness
Back to Main Menu
Retirement
Private Client
Personal Insurance Marketplace
Employee Benefits
Back to Main Menu
CA | FR
CA | EN
Industry Outlooks
Product Outlooks
North American Outlook
Sitemap
Terms & Conditions
Privacy Statement
© 2024 HUB International Limited. 150 N Riverside Plaza, 17th Floor, Chicago, IL 60606. All rights reserved.
Subscribe
Keep pace with the latest trends.
Stay in the Know
Agribusiness
North American Outlook
Learn more about us. Visit hubinternational.com
Despite severe weather and geopolitical uncertainty, some insurance rates declined in early 2025, especially for insureds with strong risk management programs. However, volatility remains, with sharp increases in catastrophe-prone regions and ongoing economic, litigation, and political challenges impacting lines like commercial auto and excess/umbrella liability.
US | EN
CA | EN
CA | FR
US | EN
Subscribe
Download Rate Report
Insured losses from January’s California wildfires are projected to hit $75 billion1 with property losses alone expected to be in the $30 billion to $50 billion range, which is expected to strain property markets. Rising rebuilding costs, fueled by inflation and supply chain disruptions, are prompting stricter underwriting and higher premiums in high-risk zones.
Wildfires and Rebuilding Costs
Capacity has improved in some segments, but insurers remain selective, prioritizing businesses with robust risk management and clean loss histories. High-exposure industries, like construction and transportation, face more restrictive underwriting.
Tariffs, supply chain issues, and regulatory shifts in the U.S., Canada and Mexico are increasing claims costs and pricing uncertainty. Any significant legislative or regulatory changes, such as tariffs, could drive up replacement and rebuilding costs in catastrophe-prone areas, which would impact property valuations and contribute to further property insurance rate instability.
Escalating legal costs and nuclear jury verdicts are driving up liability insurance rates. Commercial auto, umbrella and professional liability remain most affected, with insurers tightening terms and raising deductibles.
Download Rate Report
Market Volatility, Economic Uncertainty & Legislative Changes
Insurance Capacity
Increased Litigation Exposure
Download Rate Report
Overall, the insurance market remains highly fluid, with further changes in pricing and coverage availability expected in the months ahead. Organizations with proactive risk management and strong loss control are securing the most favorable rates and coverage terms. A strategic enterprise risk management (ERM) approach helps businesses mitigate claims, improve insurability and navigate market fluctuations with confidence. 1 Insurance Journal, “LA Wildfire Losses Seen as High as $164 Billion, UCLA Says,” Feb. 5, 2025.
Competition and Strong Risk Management Fuel Rate Improvements
Q1 Rate Report
Learn About Us
