Rate relief and added capacity are giving insureds a break… but for how long?
The US property insurance market is entering the 2025 hurricane season with a mix of cautious optimism and watchful vigilance. According to industry leaders, carriers are balancing a much-needed recovery against the threat of another volatile year of natural disasters.
After years of grappling with a hardened market defined by rising premiums, tighter terms, and limited capacity, insureds are now navigating a more favorable rate and capacity landscape.
However, with roughly $83 billion in catastrophe losses already recorded in the first quarter alone, according to Aon, the sector remains on edge.
“We’re already off to a tough start this year with wildfires, estimated to result in around $40 billion in insured losses,” said Blake Giannisis (pictured below), executive vice president and North American property practice leader at Hub International. “The popular phrase is that we’re in a ‘wait and see’ stance.”