What mariners can expect from the insurance market in 2026

As the maritime industry steers into 2026, the insurance landscape is shifting under the influence of economic pressures, climate volatility, and technological change. For marine professionals, understanding these trends is key to managing risk and securing favorable terms.

After years of hardening, the property insurance market is showing signs of relief. Rates for properties not vulnerable to catastrophe are expected to decline. Increased capacity and competitive underwriting are driving this softening, but the calm remains fragile. For those with shoreside assets — warehouses, terminals, offices — insurers will reward proactive risk management and resilience measures.

Climate volatility remains the biggest wildcard as hurricanes, wildfires, and floods challenge historical loss models, pushing carriers toward advanced predictive analytics. Valuation discipline is also tightening. Accurate property valuations and robust modeling will be essential, while artificial intelligence-driven underwriting and Internet of Things-based monitoring will influence pricing and terms.

While property markets soften, liability lines remain strained. General liability and commercial auto continue to grapple with social inflation and rising nuclear verdicts. Excess liability remains tight, with underwriters demanding cleaner loss histories and stronger controls.

Litigation costs and jury awards are rising, especially in the U.S., where verdicts in excess of $10 million are increasingly common. Cyber liability is tightening as threats evolve and businesses rely more on virtual and automated systems. Expect stricter underwriting and higher premiums for companies lacking strong cybersecurity protocols.

For maritime operators, liability coverage for crew, cargo, and environmental exposures will remain a priority. Insurers will scrutinize safety programs, training, and contractual risk-transfer strategies.

After a prolonged hard market, marine hull and liability insurance are cautiously entering a more buyer-friendly phase. Increased capacity from new Lloyd’s syndicates and growth strategies by established carriers are driving lower rates for hull, builders’ risk, and primary marine liability. Competition is intensifying, with many marine-focused carriers offering broader terms, profit sharing, and continuity credits. Digital transformation is also improving efficiency and reducing loss-adjustment times by up to 30%.

So, what should WorkBoat readers do to benefit from the changing landscape? Markets reward the prepared. Invest in safety, compliance, and cyber resilience to avoid punitive pricing. Where conditions allow, ensure your agent is leveraging competition in the marine market, shopping for enhanced terms, and embracing digital tools for risk management.

There is plenty of opportunity ahead in 2026, but volatility remains a constant companion. Those who pair disciplined risk management with technological adoption will be best positioned to navigate the evolving insurance seas.