WTW’s Specialty Insurance Marketplace Survey (SIMS) has revealed that specialty insurance market rates fell sharply in the first half of 2026 and at the 1 July renewals, with reductions generally exceeding those seen in 2025 and reaching up to 17% net of claims and exposure trends.
WTW explained that its survey covers specialty insurers operating in the London, Bermuda and US excess and surplus (E&S) markets, drawing on approximately $300 billion in gross written premium over a 10-year cycle, including $50 billion in 2025 and $29 billion in the first half of 2026.
According to the firm, in the first six months of 2026, both insurance and reinsurance rates declined by 4% gross of trend and 6% net of trend.
Insurance reportedly softened at approximately twice the pace in 2025, while reinsurance softened three to four times faster, marking a “clear acceleration” in weaker rating conditions.
“Between 2017 and the market peak in 2023, rates net of claims and exposure trend increased by approximately 50% cumulatively. By July 2026, around 65% of these rate-strengthening gains had been eroded,” WTW added.
Elsewhere, WTW’s findings showed that, beneath the headline figures, individual markets are following different insurance cycles, with the pace and extent of rate reductions varying by class.
Property recorded the steepest declines, with rates falling 17% net of trend at the 1 July renewals as softening accelerated compared with 2025.
Meanwhile, Energy and Financial and Professional Liability (FinPro) saw high-single-digit reductions net of trend, although WTW identified early signs of stabilisation in U.S. FinPro.
Marine rates also declined by mid-single digits, while Aviation and Accident & Health recorded low-single-digit reductions.
In Casualty, WTW’s survey found that rate increases of 6% at the 1 July renewals were no longer sufficient to offset its estimated claims trend of 8%, excluding exposure trend, implying an effective 2% rate reduction.
This was not yet evident in the 1 January renewal data and is significant given ongoing concerns about rate adequacy in the class.
WTW’s analysis also showed that, in the first half of 2026, all 15 material insurance and reinsurance classes recorded rate decreases after adjusting for claims trend.
Richard Clarkson, Global Market Leader, Global Specialty, WTW, commented, “SIMS uniquely captures both 1 January and 1 July renewals, providing the market with granular insights.
“Insurance rate movements in the first half of 2026 were broadly consistent with the 1 January renewals, with a decline of 4% gross of trend compared with 5%.
“Against this backdrop, the 1 July results point to accelerating softening, with rates down 6% gross and 9% net. Rate movements across most individual classes also show no slowdown.”
