Clyde & Co Insurance Growth Update 2026

• Falling interest rates and a more strategic approach to acquisitions led to a stabilisation of M&A activity during 2025, according to Clyde & Co’s annual Insurance Growth Update
• APAC saw the largest rebound in activity with 59 deals, up from 39 in 2024, whilst the Americas dropped from 92 deals in 2024 to 77 in 2025
• Looking ahead to 2026, we can expect companies to continue prioritising strategic acquisitions, including speciality platforms and businesses as routes to growth Global insurance

M&A stabilised in 2025 as insurers and brokers adopted a more disciplined, strategic approach to acquisitions amid falling interest rates and shifting priorities, according to global law firm Clyde & Co’s annual Insurance Growth Update.

A total of 211 deals were completed globally in 2025, up slightly from 202 the previous year. The increase halted the sharp decline seen in 2024, although activity remained well below the peak of 346 transactions recorded in 2023.

During the year, 15 deals were valued at US$1 billion or more, including seven “mega deals” exceeding US$5 billion. Dealmaking had slowed markedly in 2024, which marked a 16-year low amid global instability.

Rather than a full rebound, 2025 signalled stabilisation in markets such as the UK and Europe, alongside more selective acceleration in Asia-Pacific.

The shift reflects a move towards portfolio optimisation and geographic refocusing, with carriers stepping back from a “growth at all costs” strategy to concentrate on stronger strategic alignment.

The result is a clear divergence across the market: measured and targeted carrier activity alongside sustained momentum among intermediaries, brokers and MGA platforms.

Yvonne Lam, Partner at Clyde & Co, says APAC was the standout region for insurance M&A in 2025, with deal activity rebounding strongly and several of the year’s largest transactions taking place in markets such as Japan.

"In Australia, the insurance sector is benefiting from the stronger growth in the broader APAC region," she says.

"We are seeing increased levels of strategic insurance M&A activity as new industry players enter the market in specialty areas and global groups look to restructure for streamlining of their regional operations.

"With strong capital positions and a continued push for international expansion, particularly among Japanese insurers, we expect APAC to remain a key driver of global deal activity into 2026 across not only the traditional hubs of Hong Kong, Singapore and China but also emerging markets such as India and Thailand.”

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