AJG · 10-Q · 2026Q3 · Full report

Insurance Pricing Environment

Arthur J. Gallagher & Co. · 2026-11-05 · Importance 25 · Surprise 32

The Council of Insurance Agents and Brokers’ first- and second-quarter 2026 surveys showed U.S. commercial property/casualty rates decreased 1.2% and 2.0%, respectively; the third-quarter survey was not available as of the filing date. By comparison, rates rose 4.2%, 3.7%, 1.6% and 0.2% in the four quarters of 2025. Gallagher reports significant carrier competition in property coverages, while casualty underwriting remains more cautious in certain lines, particularly in the U.S. Management says catastrophe losses and other market factors could affect pricing, capacity and underwriting at property insurance and reinsurance renewals, and casualty loss-cost trends could affect terms in those lines. Rising insurable values, including those driven by inflationary pressures, employment levels and changing market risks, continue to contribute to growth in insured exposures.

Key facts

• U.S. commercial property/casualty rates decreased 1.2% in the first quarter of 2026 and 2.0% in the second quarter of 2026, according to CIAB surveys. source
• U.S. commercial property/casualty rates increased by 4.2%, 3.7%, 1.6% and 0.2% on average in the first, second, third and fourth quarters of 2025, respectively. source
• Catastrophe losses and other market factors could influence pricing, capacity and underwriting conditions in property insurance and reinsurance markets upon renewal. source
• Loss-cost trends in certain casualty coverages could affect pricing, capacity and underwriting terms and conditions in those lines. source
• The third-quarter 2026 CIAB insurance pricing survey had not been published by the filing date. source
• Casualty market conditions varied by line and account, with underwriting remaining more cautious in certain casualty lines, particularly in the U.S. source