Q3 2025 marked the clearest soft market conditions seen in years, with average premiums across all account sizes rising just 1.6% — a 57% decline from Q2 2025 — and every account size posting an increase of less than 2%.
The most notable development was commercial property recording its first premium decrease since Q2 2017 at -0.2%, driven by a wave of new carrier and MGA entrants flooding the market with capacity that “far outweighs demand,” combined with a more favorable reinsurance market reducing primary carrier costs. Cyber posted another record low at -2.6%, its fourth such record in six quarters, as an oversupply of reinsurance capital and growing cyber ILS/catastrophe bond markets fueled carrier competition. While umbrella saw its outsized increases moderate sharply to 5.5% (from 11.5% last quarter), commercial auto remained persistently elevated at 7.4%, and six lines in total recorded premium decreases — signaling a broad and accelerating market softening across nearly all segments.
