HUB Report Highlights Mixed Market Signals Across US Insurance Lines

HUB International has published its 2025 Outlook Q3 Rate Report, analyzing evolving insurance market trends across property, casualty, auto, cyber, and alternative risk sectors. According to HUB, the third quarter reflected a mix of stabilization and continued challenges, emphasizing the need for proactive and data-driven strategies in managing risk and renewals.

Per the report, property rates remained largely stable but continued to hinge on catastrophe (CAT) activity, including hurricanes and wildfires. Diversified portfolios benefited from double-digit rate decreases, while CAT-prone regions saw flat or modestly higher premiums. HUB noted that several major catastrophe events could slow current stabilization and reverse the softening trend.

Inflation and broader economic factors also shaped underwriting discipline, according to HUB. While many lines experienced flat or slightly reduced rates, inflation-driven exposure increases kept premiums steady. Insurers were seen rewarding accounts with strong controls and financial performance, while less robust risks faced higher premiums or limited capacity.

Market divergence was another key theme. HUB said commercial auto remained one of the toughest segments due to litigation and geographic risks, whereas cyber coverage saw abundant capacity and moderate rate decreases. The firm indicated that favorable conditions in cyber allow insureds to expand coverage or negotiate better terms.

Interest in captive insurance continued to grow, per HUB, though the report emphasized that organizations must be prepared for the capital, regulatory, and administrative requirements such arrangements demand. Captives were cited as tools for long-term cost stability but ones that also carry additional complexity and potential frictional costs.

Across all lines, HUB advised early renewal preparation, detailed financial disclosures, and robust risk management as critical success factors. The report recommended that organizations reassess valuations amid inflation, review supply chain vulnerabilities, and work closely with experienced brokers to structure effective programs.

In its line-by-line rate guidance, HUB reported commercial auto rates up 5–15 percent, driven by litigation severity and reduced insurer appetite in high-risk regions. General liability ranged from flat to +10 percent, with new exclusions emerging for assault and battery or sexual misconduct liability. Workers compensation saw rates from –5 to +5 percent, supported by higher payrolls but tempered by rising claim severity. Property and catastrophic peril rates declined between –15 and –5 percent and –20 and –5 percent, respectively, reflecting increased competition and reinsurance stability. Meanwhile, cyber liability rates continued to moderate, falling between –5 percent and flat as underwriting discipline improved.

Overall, according to HUB, the third quarter of 2025 underscored a transitional phase in the US insurance market—marked by cautious optimism, selective relief, and the growing importance of early, strategic engagement with insurers and brokers to secure optimal terms.