Marine Insurance Growth Faces Rising Risks
Global marine insurance premiums rose in 2025, but rising claims, fierce competition and geopolitical tensions continue to challenge the sector.
The global marine insurance market recorded an increase in premium income in 2025, despite facing challenging market conditions. Growth in global fleets, rising vessel values and increased demand for war risk coverage supported premiums. However, a significant portion of the growth was attributed to the depreciation of the US dollar.
Hull insurance premiums rose by 9.4% to $10.5 billion. Fleet expansion, higher vessel values and war risk coverage contributed to this increase. However, fleet growth outpaced premium income growth, indicating that competitive pressure on insurers remained intense.
Geopolitical risks take centre stage
In 2025, no single major loss significantly affected a particular insurance line. However, the cumulative impact of smaller claims put pressure on profitability.
In 2026, geopolitical tensions became a more decisive factor in the marine insurance market. Conflicts in the Middle East disrupted commercial shipping, increasing the need for war risk coverage while also making energy-carrying vessels more difficult to secure.
The more limited-than-expected impact of tariffs on international trade and stronger-than-anticipated global economic growth emerged as supportive developments for the sector. Asia was the main driver of growth in the marine insurance market, while European markets also expanded at a slower pace.
The database used to monitor claims trends across the sector reached approximately 7,200 cargo claims, representing total losses of $11.4 billion. A new index was also introduced to assess increases in ship repair costs using broader economic indicators.
Cargo insurance remains the largest segment
Insurance covering goods transported by sea remained the largest segment of the industry. Premiums in this category increased by 6.9% to $24.2 billion. Activity in global maritime trade and changes in commodity values supported growth, while exports of high-value technology products and semiconductors also contributed to demand.
In offshore energy insurance, premiums edged up by 0.1% to $4.82 billion. Despite growth in renewable energy projects, the increase in this segment remained limited.
