California FAIR Plan expands as insurers withdraw from lower-risk neighborhoods
California’s property insurance market shows growing strain as insurers retreat from areas once considered moderate wildfire risk
🇺🇸 US Insurance News
New York auto insurance reform sparks clash between trial lawyers and Hochul
New York’s auto insurance reform debate is escalating as Governor Kathy Hochul presses for legislation aimed at curbing litigation linked to vehicle accidents
RockRose Risk raised $9 mn to expand wildfire insurance brokerage
RockRose Risk raised $9 mn in funding to expand its brokerage platform focused on wildfire-exposed properties. CEO and founder Andrew Engler confirmed the financing
Police officers arrested in U.S. insurance fraud investigations tied to benefits claims
Two officers from the Los Angeles Police Department were arrested Friday on suspicion of unemployment insurance fraud linked to claims
North American re/insurers post 11% ROE as underwriting and investment income stay strong
North American (re)insurers delivered strong profitability in 2025. According to Fitch Ratings, the sector recorded an operating return on common equity of 11%
Active Re completes global retrocession programme and expands cyber underwriting
Barbados reinsurer Active Re strengthens capital protection and increases AI adoption across underwriting operations
Gulf war-risk insurance withdrawal raises pressure on marine specialists
Fitch Ratings expects the withdrawal of hull war-risk marine insurance in the Persian Gulf to carry negative credit implications for U.S. property and casualty insurers
Insurance payments platform One Inc appoints fintech veteran Bryan Thompson as CTO
Insurance payments platform One Inc names Bryan Thompson CTO to lead technology strategy, platform development, and enterprise security
U.S. title insurance sector’s operating margin improved to 11.4% in 2025
The U.S. title insurance sector’s operating margin improved to 11.4% in 2025, up from 10.3% in 2024, according to a new Fitch Ratings
Lockton marks one year of crypto insurance premium payments
Independent broker Lockton expands digital-asset premium payments as clients use crypto to fund global insurance programs
Iran conflict unlikely to trigger major insurer rating changes, Fitch says
Fitch says global insurers face manageable earnings pressure from Iran conflict unless escalation damages energy infrastructure or prolongs market volatility
DFC–Chubb $20 bn reinsurance plan targets Hormuz shipping risk
U.S. DFC and Chubb launch $20 bn maritime reinsurance framework to support oil and LNG shipping through the Strait of Hormuz
Hormuz war-risk insurance premiums jump 12x as $20 bn US backstop emerges
War-risk rates in the Strait of Hormuz climb to 3% of hull value as DFC launches $20bn reinsurance plan amid tanker strikes
Proposed U.S. GENIUS Act would exclude stablecoins from FDIC insurance
Proposed U.S. legislation would exclude stablecoins from FDIC insurance, preserving $250,000 coverage solely for traditional bank deposits
Louisiana Farm Bureau Casualty Insurance to demutualize in $46.7 mn deal
Southern Farm Bureau Casualty to acquire Louisiana Farm Bureau Mutual for $46.7m, converting it to stock after surplus erosion and heavy losses
Gulf hull war rates may jump 50% as marine insurance cover pulled
Marsh and Aon warn marine hull war premiums in the Gulf could rise 25–50% as underwriters cancel policies and reprice transits
Morningstar DBRS warns Gulf conflict may tighten reinsurance
Morningstar DBRS says Iran conflict could push reinsurers to raise attachment points, cut capacity and heighten volatility in marine and aviation lines
NFIP shutdown risk exposes gaps in flood insurance cover access
Federal shutdown froze NFIP policy issuance and renewals, disrupting property deals and highlighting need for private flood alternatives
Delaware court says insurers need not defend Meta
Delaware judge rules insurers owe no duty to defend Meta in social media addiction suits, finding alleged conduct was deliberate, not accidental
Iran strikes disrupt flights as war exclusions hit travel insurance cover
Airlines cancel thousands of flights after U.S.-Israel strikes on Iran, but standard travel insurance often excludes war-related disruptions
California bill targets insurer hurdles for rare disease drugs
California lawmakers advance bipartisan bill to bar prior authorization and step therapy for FDA-approved rare disease treatments
Marine insurers halt Gulf war risk cover as premiums near 1%
Marine insurers cancel war risk policies in the Gulf after tanker strikes push premiums toward 1% of hull value and strand 150 vessels
War insurance risk cover pulled as Hormuz conflict jolts shipping
Marine insurers are cancelling war risk cover for vessels operating in the Middle East Gulf as the United States–Israel–Iran conflict disrupts tanker traffic
NASCAR driver Kyle Busch settles $8.5 mn suit against Pacific Life
NASCAR driver Kyle Busch resolves $8.5 mn lawsuit alleging Pacific Life and agent misled him on indexed universal life projections
Moody’s: US life insurers post uneven Q4 2025 as rate tailwind fades
Moody’s says US life insurers saw mixed Q4 2025 profits as spreads tightened and claims rose, with steady 2026 outlook and strong PRT demand
S&P sees reinsurance capital steady despite Middle East shock
S&P says reinsurers enter 2026 with strong capital buffers despite expected losses from Middle East conflict across marine, aviation and specialty lines
McKinsey says AI could add $70 bn to insurance revenue
McKinsey outlines how AI, from predictive models to agent systems, is reshaping brokers, MGAs, TPAs and software, with $50 bn–$70 bn revenue upside
Kennedys flags multi-line insurance threat from US-Israel-Iran conflict
Kennedys warns escalating US, Israel and Iran hostilities threaten simultaneous losses across political violence, marine, aviation, energy and trade credit lines
California family accused of staging Porsche crash for $39K in insurance claims
Pasadena trio charged with felony insurance fraud after alleged staged Porsche crash netted $38,932 in claims, say California regulators
Trump weighs tanker insurance plan as oil surges on Iran strikes
Trump reviews options to curb oil spike after Iran strikes, including federal tanker insurance and possible SPR use as Hormuz shipments stall
California auto insurance rates in 2026 jump over 30% since 2023
California drivers face auto premium hikes exceeding 30% in two years, driven by repair costs, heavier vehicles and inflation pressures
Aetna fined $550k in Pennsylvania mental health insurance parity case
Pennsylvania Insurance Department orders Aetna to pay $550,000 penalty and reimburse members with interest after mental health parity violations
Georgia advances insurance reform bills as Kemp signs budget with $2 bn
Georgia House sends insurance cost bills to Senate as Gov. Kemp signs amended budget with $2 bn in tax relief and public worker bonuses
Iowa House backs bill ending prior auth for mental health crisis care
Iowa lawmakers approve measure barring insurers from requiring prior authorization for mental health crisis stabilization service
Texas businesses sue over Historically Underutilized Business program overhaul
Four companies and a trade group challenge Texas comptroller’s emergency rules that narrowed the Historically Underutilized Business program
EEOC sues Mid-Michigan Home Health over race bias
EEOC files Title VII lawsuit alleging Mid-Michigan Home Health denied assignments and fired Black CNA in Michigan due to race
Louisiana Department of Insurance partners with NICB to target litigation funding ads
Louisiana Insurance Department teams with NICB and 4WARN to curb third-party litigation funding ads steering policyholders into costly lawsuits
CMS backs catastrophic health insurance plans with high deductibles
CMS proposes expanding multi-year catastrophic plans and HSA use on ACA exchanges, prompting debate over coverage gaps and financial risk
Nebraska bill targets Alzheimer’s insurance coverage gaps
Nebraska proposal would require insurers to cover FDA-approved Alzheimer’s tests and treatments, aiming to reduce step therapy barriers and out-of-pocket costs
Arkansas Insurance Department updates gold card appeal rules under Act 511
Arkansas Insurance Department issues Bulletin 4-2026 detailing new independent review timelines for insurer and PBM gold card rescission appeals
California bill targets wildfire non-renewals, adds 6-month notice
California lawmakers propose requiring insurers to give six months’ notice and specific reasons before dropping homeowners over wildfire risk
Louisiana auto insurance premiums fall 5.8% as 2025 rates stabilize
Louisiana insurance rates dip 0.4% overall in 2025, driven by a 5.8% drop in private passenger auto, while homeowners premiums rise at a slower pace
Connecticut weighs LTCI tax relief as insurance premiums surge
Connecticut lawmakers propose tax deductions and hearing rules for long-term care insurance hikes as seniors report premium increases of 50% to 400%
Nevada state workers push back on projected PEBP insurance increases
Nevada state workers and retirees push back on projected PEBP insurance increases, warning of staffing losses as deficit estimates and premium models face scrutiny
Apartment fire highlights renters insurance gap in North Carolina
Camden Westwood Apartments fire displaces 70 residents, underscoring low renters insurance uptake and replacement cost risks for tenants
Progressive issues $1 bn in Florida auto insurance refunds
Progressive returns nearly $1bn to Florida drivers after litigation reform and lower loss costs, with average rebates around $300 per policyholder
AI adoption rises to 82% as data protection risks persist: Gallagher
Gallagher survey finds 82% of businesses report positive AI impact, yet data protection, hallucinations and legal risk remain leading concerns.
Insurtech Kin lifts GWP 28% to $635 mn as renewal base expands
Insurtech Kin reports 28% GWP growth to $634.4 mn, rising renewal premiums and improved operating margin despite softer insurance market conditions
Texas sues TP-Link over router security and China ties
Texas alleges TP-Link misled consumers on router security and supply chain origins, citing exploited firmware flaws and links to Chinese components
Agentic AI governance moves to board level as autonomy expands
Agentic AI systems introduce execution risk beyond model output, forcing enterprises to redesign governance, privilege controls and runtime oversight
AI-powered actor breaches 600 FortiGate devices in 55 countries
Financially motivated hacker used commercial AI tools to compromise 600 FortiGate devices via exposed ports and weak credentials, no new exploits involved
Low-growth economy tops emerging risk list in 2025, Gartner says
Gartner reported that a low-growth economic environment remained the top emerging risk in the fourth quarter of 2025, marking the second consecutive quarter in which economic conditions
The Cayman Islands’ reinsurance sector has expanded sharply
The Cayman Islands’ reinsurance sector has expanded sharply, according to 2025 insurance statistics released by the Cayman Islands Monetary Authority and highlighted by Cayman Finance
US Labor Department probes California unemployment insurance program
The US Department of Labor announced formal steps to examine fraud and improper payment risks within California’s Unemployment Insurance program
Health Savings Accounts draw scrutiny as costs rise for ACA marketplace enrollees
Health Savings Accounts sit at the center of a renewed policy debate as health coverage costs climb for millions of Americans purchasing insurance on Affordable Care Act marketplaces
Insurtech Titan Flood launches private residential flood program with Nationwide
Titan Flood, an AI-enabled flood insurance platform, has launched a private residential flood program in partnership with Nationwide E&S/Specialty
Yale New Haven Health sues Ironshore over $4 mn transplant insurance claim
Yale New Haven Health filed suit in US District Court in Connecticut seeking roughly $4.1 mn from Ironshore Indemnity, alleging the insurer refused to reimburse costs
Are autonomous vehicles from companies such as Waymo and Tesla making roads safer? Insurance research
Are autonomous vehicles from companies such as Waymo and Tesla making roads safer? The insurance industry’s research community is watching closely, and the answer remains unsettled
GEICO faces class action over added drivers and insurance premium hikes
GEICO faces a proposed class action in Florida federal court alleging the insurer added unrelated drivers to policyholders’ auto coverage without consent, triggering higher premiums
Vistria acquires Dallas MGA Lumen to expand specialty platform
The Vistria Group acquired Lumen Holdings, a Dallas-based managing general agent underwriting commercial and personal lines across more than 30 states
Global insurance M&A stabilised, as insurers and brokers took a more strategic approach to acquisitions amid falling interest rates and a realignment of strategic priorities
Insurance brokers push debt-financed acquisitions amid slowing growth, Fitch warns credit risks rise but strong cash flow keeps leverage tolerable
Major deals have led global M&A activity in 2024, showing increasing confidence among dealmakers despite geopolitical and economic challenges
Deloitte presents new trends in insurance mergers and acquisitions for 2024-2025, focusing on how economic, regulatory, and strategic factors might shape the future.