Indian commercial insurance rates stable overall; property rates rise 30percent due to regulatory changes

Mumbai, 31 October 2025: According to the latest Global Insurance Market Index released today by Marsh, the world’s leading insurance broker and risk advisor and a business of Marsh McLennan (NYSE: MMC), commercial insurance rates in India remained largely stable in the third quarter of 2025, even as property insurance rates rose sharply by 30% due to regulatory pricing tariffs. The increase in property rates contrasted with overall rate declines across most major global regions.

Across the broader India, Middle East, and Africa (IMEA) region, composite commercial insurance rates decreased by 5% in Q3 2025, marking another quarter of moderation supported by strong competition, favorable reinsurance pricing, and expanded market capacity.

India market overview

• Property insurance: Rates in India rose by 30% in Q3 2025, primarily driven by new regulatory pricing tariffs. In contrast, property rates declined between 5% and 10% across the Middle East and Africa, reflecting ample capacity and competition
• Casualty insurance: Rates remained flat in India, with capacity-driven and non-complex risks typically renewing at stable prices
• Financial and professional lines: Rates were stable in India, compared to declines of up to 15% in some Middle Eastern markets, where increased London and Dubai capacity contributed to downward pressure
• Cyber insurance: Rates in India were stable, while the Middle East experienced declines between 10% and 15%, driven by new entrants and rising insurer competition

Commenting on the report, Omar Gemei, Head of Global Placement, Marsh, India, Middle East, and Africa, said, “India’s insurance market continues to evolve against a backdrop of regulatory realignment and sustained economic growth. While property rates were impacted by tariff revisions, overall market stability reflects robust capacity and healthy competition among insurers. We expect the Indian market to remain resilient, with clients benefiting from an environment that encourages improved terms, innovation, and enhanced coverage solutions.”