Mumbai, October 22, 2026: Commercial insurance rates in India continued to decline across major lines during the first three quarters of 2026, driven by increased insurer capacity and heightened market competition, according to the latest Marsh Global Insurance Market Index.
The report from Marsh, an insurance broker and risk advisor, found that property, financial and professional, and cyber insurance rates all recorded declines in India, with the country seeing some of the largest reductions in the India, Middle East and Africa (IMEA) region.
Property and financial lines see steep reductions
Property insurance rates in India fell for the fourth consecutive quarter. In the first quarter of 2026, some clients saw property rate decreases of up to 45%, though most reductions were lower, compared to an IMEA average decrease of 10%. Marsh attributed the trend to increased insurer capacity, the removal of tariffs, and intensified competition for well-managed risks, which provided buyers with greater leverage on pricing, coverage, limits, and policy terms.
Financial and professional lines also posted declines for the fourth straight quarter. Directors’ and officers’ liability rates dropped by as much as 20% in the first quarter, and professional indemnity rates also saw reductions. Marsh noted that businesses are using the competitive environment to reassess limits, deductibles, and coverage structures, not just premiums.
Cyber insurance rates continue downward trend
Cyber insurance rates declined for the twelfth consecutive quarter across the IMEA region, with India experiencing the steepest decreases in the third quarter, while the IMEA average fell by 10%. Marsh highlighted that despite lower rates, the cyber risk landscape is evolving due to increased digital dependence, new technologies, and shifting threat patterns, prompting businesses to review and strengthen their coverage.
Market conditions offer buyers more choice
Marsh said that the current environment of declining rates is reducing insurance costs for many organisations and expanding the range of options available to buyers. The increased capacity and competition are enabling businesses to consider improvements in coverage, limits, deductibles, and policy terms, as well as reassess how their insurance programs address emerging and interconnected risks.
The company recommended that businesses use the favourable market conditions to review the resilience of their insurance programs, especially as geopolitical uncertainty, cyber threats, supply chain disruptions, and natural catastrophe exposures continue to evolve.
Marsh (NYSE: MRSH) advises clients in 130 countries and reported annual revenue of $27 billion with over 95,000 employees.
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