FINANCIAL, EXECUTIVE AND PROFESSIONAL RISKS (FINEX)FI Global Insurance Market Conditions
This report provides a comprehensive overview of the current insurance market conditions in the financial institutions (FI) insurance market across multiple regions, including North America, Europe, Asia, and Australia/New Zealand.
Regional Updates
Recommendations and next steps
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2040
Annual Report
Global Head of Placement, Financial Institutions, FINEX
This report provides a comprehensive overview of the current insurance market conditions in the financial institutions (FI) insurance market across multiple regions, including North America, Europe, Asia, and Australia/New Zealand, detailing rate changes, coverage trends, capacity, and market observations as of late 2025.
Capacity and market competition: Increased competition in Q4 2025 in the U.S. is driving aggressive pricing. Canadian insurers are expanding appetites, but blended D&O/E&O coverage remains limited. European markets generally show abundant capacity and competition, with new entrants increasing availability, especially on excess layers.
Coverage and underwriting in North America: Coverage remains robust with opportunities for improvements, especially for strong performers. Crypto asset and real estate exposures face stricter underwriting. Cyber and AI risks are emphasized, with cyber insurance adoption still low among mid-sized firms. FinTech firms face higher premiums and stricter underwriting.
North America rate trends: U.S. FI insurance rates vary by coverage, with public D&O rates flat to -3%, private D&O and asset managers flat to -5%, while Bankers Professional Liability and Insurance Company Professional Liability rates are flat to +10%. Cyber and fiduciary liability rates range between -5% to +5%. Canadian rates show similar patterns with public D&O rates flat to -10% and some lines experiencing flat to +10% changes.
Asia asset management insurance: Rates are declining between 10-20% across major lines. Insurers are allocating more capacity, with evolving crime coverage addressing new risks like deepfake and social engineering. Increased regulatory focus and investor scrutiny on cyber and AI risks influence coverage demand.
Coverage focus in Europe: Markets maintain stable coverage with room for wording improvements. Cyber liability is increasingly integrated into D&O, PI, and Crime policies. Insurers are cautious about real estate and digital asset risks, with some regulatory scrutiny impacting policy terms.
European market rate dynamics: Germany, France, Belgium & Netherlands, Spain, Sweden, and Switzerland report mostly stable or declining rates, with reductions up to 10-30% in some lines like D&O, PI, and Crime. Digital asset exposures remain challenging, with some insurers beginning to offer tailored coverage. ESG and cyber risks are increasingly integrated into underwriting.
Recommendations for insureds: Insureds are advised to leverage competitive market conditions by exploring alternative carriers, restructuring layered programs, engaging brokers early, and focusing on emerging risks like fintech and cyber vulnerabilities. Maintaining strong insurer relationships is also encouraged for stability and claims service.
Contacts and regional leads: The document provides contact information for regional heads and brokers specializing in financial institutions insurance across North America, Europe, Asia, and Australasia for further tailored advice.
