$100 billion in U.S. E&S property premiums is giving insureds more leverage in 2026, with surplus capacity and insurer competition driving broader rate relief, Risk Placement Services said.
An 88% combined ratio in 2024 and relatively benign fourth-quarter 2025 losses encouraged insurers, reinsurers and MGAs to keep adding capital, leaving some programs oversubscribed and squeezing carrier margins.
Construction, manufacturing, hospitality and commercial real estate are seeing the strongest buyer-friendly terms, including lower premiums, reduced deductibles and restored limits, especially for larger layered accounts.
Data centers and wildfire-exposed properties remain exceptions because high insured values, aggregation risk and limited mitigation keep capacity selective; public entities and schools still face wildfire-linked rate pressure.
$129 billion in global insured catastrophe losses in 2025 and $20 billion in first-quarter 2026 CAT losses have not yet reversed the trend, though RPS said multiple major events could test newer MGA-backed capacity and steady rates in 2027.