From: Captive.com/IRMI
The softening property insurance market has done little to suppress the upsurge of captives being used to fund this risk.
If anything, it has given commercial property owners a bit of a reprieve while they ponder how best to use captives to reduce the impact of insurance market cycles on their risk-financing strategies.
And in some cases, companies are considering the use of captives to address a previously unforeseen risk: tariffs.
Captives continue to be a good solution for property coverage, regardless of market conditions”
Dan Towle, CICA President
Driven by increased insurer competition, property rates decreased by 6 percent globally in the first quarter of 2025, according to Marsh’s Global Insurance Market Index. The United States and Pacific regions experienced the largest decreases, at 9 percent, while rates in the United Kingdom declined 6 percent, and all other regions experienced low single-digit declines. Clients also were able to negotiate improved terms and conditions on their property insurance programs, the report found.
