Marsh reports significant shift in transactional risk insurance market amid record-breaking global M&A activity in 2025

March 19, 2026 ­─­ After three years of declining rates, the global transactional risk insurance market turned in 2025 with primary warranty and indemnity (W&I) rates rising across most regions, according to a new report published today by Marsh (NYSE: MRSH), a global leader in risk, reinsurance and capital, people and investments, and management consulting. The pricing shift comes amid increased M&A deal volume and rising claim activity.

The 2025 Global Transactional Risk Insurance Report found that North America experienced the most pronounced pricing increase, with average primary layer W&I premium rates increasing 16% year-over-year, compared with a 14% decline in 2024. Similarly, Asia recorded an 8% year-over-year increase in premium rates in 2025 compared to a 24% average decline in 2024.

This upward pricing trend comes amid record-high global M&A deal values, which reached nearly $5 trillion in 2025. Deal values grew materially faster (up 37%) versus deal count, which was up 12% over 2024. Volume growth was fueled by a sharp increase in mega deals, including 70 transactions over $10 billion—an 81% jump year-over-year—and 617 deals exceeding $1 billion, the report shows.

Amid higher deal count and deal values, global transactional risk insurance claims frequency and severity rose in 2025, according to the report. The UK hit historic notification and payout levels, while Europe’s claims doubled and Asia saw sharp increases. North America’s notifications dipped slightly, but total loss payments reached a record high.

Among other key findings from the report: Marsh Risk placed a record $91.6 billion in transactional risk insurance limits globally in 2025—a 34% increase—across more than 3,800 policies and nearly 1,800 unique transactions; and the number of tax insurance policies placed by Marsh Risk in North America increased 82% in 2025, while Europe’s tax insurance policy count grew over 50% and insured limits more than doubled year-over-year.

For the third consecutive year, Marsh Risk completed a greater share of transactional risk insurance programs for corporate and strategic insureds (53%) than for private equity firms (47%), signaling a sustained change in buyer behavior.

“2025 marked a pivotal year with rising premiums and record placements supporting increased M&A activity,” said Craig Schioppo, Global Transactional Risk Insurance Practice Leader, Marsh Risk. “Deal activity so far in 2026 is robust with high demand for transactional risk solutions, as the insurance market continues to tighten. We remain committed to delivering innovative risk solutions that help our clients navigate this dynamic market with confidence.”

About Marsh

Marsh (NYSE: MRSH) is a global leader in risk, reinsurance and capital, people and investments, and management consulting, advising clients in 130 countries. With annual revenue of $27 billion and more than 95,000 colleagues, Marsh helps build the confidence to thrive through the power of perspective. For more information, visit corporate.marsh.com, or follow us on LinkedIn and X.

RCA PR (FR) I Charlotte Ries I Tel. +32 489 32 71 00 I charlotte.ries@rcapr.be