Commercial insurance rates in India, Middle East, and Africa region declined by an average of 10% in the first quarter of 2026, according to the Global Insurance Market Index released today by Marsh Risk, a business of Marsh The decline, one of the largest rate decreases recorded globally, was driven by stable capacity and high levels of competition across markets. India recorded some of the sharpest reductions across major lines, particularly in property, directors and officers liability, and cyber insurance, underpinned by strong reinsurer participation and an expanding insurer base. The Middle East and Africa also benefited from improved pricing and broader coverage options, though the Middle East conflict continued to influence capacity in select lines.
Gaurav Pagare, Sales and Placement Leader, Marsh India, said
“India’s commercial insurance market continued its trajectory of competitive pricing in the first quarter of 2026, with rate declines recorded across all major product lines. Property rates fell by up to 45% in select segments, directors and officers liability rates declined by 30%, and cyber insurance rates dropped by approximately 30%, reflecting strong reinsurer support, growing insurer participation, and a broadly stable claims environment. These conditions present a compelling opportunity for Indian businesses to reassess their risk transfer strategies, expand coverage, and build more resilient programme structures at a time when economic ambitions and asset values continue to grow at scale.”
Sanjay Kedia, CEO and President, Marsh India, added
“As businesses scale and their risk profiles grow in sophistication, it is essential to move beyond a cost-focused approach and use current market conditions to secure more comprehensive protection. Businesses that invest in resilience now, through broader coverage, stronger risk mitigation, and well-structured programmes is critical to sustaining long-term growth in an increasingly uncertain operating environment.”
These regional results are consistent with a broader global trend. According to the Global Insurance Market Index, global commercial insurance rates declined by 5% in the first quarter of 2026, marking the seventh consecutive quarterly decrease following seven years of increases. This sustained decline reflects growing insurer competition, favourable loss conditions, and increased market capacity across most product lines and geographies, benefiting policyholders. The IMEA region continued to benefit from strong international reinsurance support for large and complex risks, although the Middle East conflict has introduced some volatility in select lines and markets.
Please find a summary of India insurance rate trends for Q1 2026 below
IMEA property rates decline
Property insurance rates decreased 10%, driven by stable capacity and high levels of competition
In India, clients experienced decreases of up to 45%, though typically lower; the Middle East and Africa saw declines ranging from 5% to 20%
- Catastrophe-exposed and high-hazard sectors, including chemical, food, waste, and recycling, saw declines of up to 25% in India; clients in other regions generally saw declines of 5% to 15%
- Regional and multinational reinsurers expanded their presence across IMEA, increasing competition, particularly in the Middle East and Africa
- The Middle East conflict resulted in major claims being notified in property markets, with some impact on capacity in parts of the region
Casualty insurance rates decline
Casualty insurance rates decreased 7%, compared to a 5% decline in the prior quarter
- Pricing varied by region, with the largest declines generally seen in India
- A new civil code in the United Arab Emirates removed previous legal monetary compensation caps for death or injury (formerly US$54,000 per person)
- US exposures continued to influence regional appetite and capacity deployment
Financial and professional lines rates decline, with regional variation
Financial and professional lines rates declined 6%, compared to 11% in the fourth quarter of 2025
- Directors and officers (D&O) liability rates decreased 30% in India; 10% to 15% in the UAE and Saudi Arabia; and ranged from stable to 5% declines in South Africa
- Financial institutions rates in India declined 15% to 20%, while the Middle East saw declines ranging from flat to 5%, supported by capacity from London and Dubai
- Professional indemnity rates declined 10% to 15% in India; ranged from flat to 5% declines in the Middle East; and ranged from stable to 5% increases in South Africa
Cyber insurance rates decline as capacity increases
Cyber insurance rates decreased 14%, the largest decline of any region globally, compared to an 8% decline in the prior quarter
- India saw sharp decreases averaging 30%, while the Middle East experienced declines of 5% to 10%
- Rates in South Africa were flat
- Capacity growth in the Middle East was driven by new market entrants and higher levels of insurer competition
- Insurers in India and Africa remained more cautious amid evolving risk profiles