Excess Liability Insurance Market Report 2025

The excess liability insurance market size has grown strongly in recent years. It will grow from $14.78 billion in 2024 to $15.89 billion in 2025 at a compound annual growth rate (CAGR) of 7.5%. Growth in the historic period was driven by increasing demand from small and medium-sized enterprises, rising regulatory and compliance requirements, greater public scrutiny and media attention, an uptick in workplace safety and employment-related claims, and growing expectations from investors and stakeholders.

The excess liability insurance market size is expected to see strong growth in the next few years. It will grow to $20.94 billion in 2029 at a compound annual growth rate (CAGR) of 7.2%. Growth in the forecast period is expected to be driven by the increasing frequency of catastrophic events, a rising number of high-value lawsuits, greater corporate risk exposure, growing awareness of legal vulnerabilities, and heightened concerns over cyber liability. Key trends projected for this period include advancements in digital underwriting tools, the use of advanced risk modeling techniques, innovation in customized policy offerings, integration of AI in claims processing, progress in telematics-driven liability assessments, and the development of bundled insurance products.

The rising number of lawsuits is expected to drive growth in the excess liability insurance market in the coming years. Lawsuits, which are legal actions filed to resolve disputes, claim damages, or enforce rights, have increased as greater public awareness encourages more individuals and businesses to take legal action when they feel wronged. Excess liability insurance provides additional coverage beyond standard policy limits, protecting policyholders from large legal claims or judgments that exceed primary insurance. For example, in February 2024, the London Stock Exchange Group Plc. reported that in the US, industries such as healthcare and life sciences accounted for 22% of class action lawsuits in 2022, with the technology sector also experiencing high litigation rates. The growing prevalence of lawsuits is therefore fueling demand for excess liability insurance.

The rising frequency and severity of catastrophic events is also contributing to the growth of the excess liability insurance market. Catastrophic events, including floods, wildfires, and hurricanes, are becoming more common due to climate change, which disrupts weather patterns and increases global temperatures. Excess liability insurance offers additional financial protection beyond primary policies, covering high-cost claims resulting from severe damage, injury, or legal liability. For instance, in January 2024, the US National Centers for Environmental Information (NCEI) reported that 2023 set a record with 28 separate weather and climate disasters, each causing at least $1 billion in damages, the highest number recorded in a single year. This rise in catastrophic events is driving the market for excess liability insurance.

Leading companies in the excess liability insurance market are developing innovative solutions to address evolving legal and risk challenges. Programs such as claims-made lead umbrella policies provide additional coverage above primary insurance, triggered by claims made during the policy period, and offer broader protection across multiple underlying policies. In May 2025, Chubb Corporation, Zurich North America, and National Indemnity Company launched a new excess casualty facility offering up to $100 million in lead excess casualty insurance capacity on a claims-made basis. Underwritten by Chubb and Zurich with support from National Indemnity, the facility aims to simplify insurance acquisition, ensure consistent coverage terms, and provide expert claims management for large corporate clients facing escalating legal risks. Coverage began on July 1, 2025, in the US, demonstrating a collaborative approach to innovative and sustainable insurance solutions.

Major players in the excess liability insurance market are Allianz SE, Munich Re, American International Group, Liberty Mutual Insurance Company, Sompo International Holdings Limited, The Hartford Financial Service Group Inc., Fairfax Financial Holdings Limited, QBE Insurance Ltd., Aon Plc, Markel Canada Limited, W. R. Berkley Corporation, Swiss Re Group, Hub International Insurance Services Inc., Berkshire Hathaway Specialty Insurance Co., RLI Corporation, XPT Group, Insureon, eMaxx Assurance Group, Integrated Specialty Coverages LLC, Greenwood General Insurance Agency, First Choice Insurance Intermediaries Inc., PURE GROUP OF COMPANIES Limited.

North America was the largest region in the excess liability insurance market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in excess liability insurance report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the excess liability insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the financial sector, particularly in investment strategies and risk management. Heightened tariffs have fueled market volatility, prompting cautious behavior among institutional investors and increasing demand for hedging instruments. Banks and asset managers are facing higher costs associated with cross-border transactions, as tariffs disrupt global supply chains and dampen corporate earnings, key drivers of equity market performance. Insurance companies, meanwhile, are grappling with increased claims risks tied to supply chain disruptions and trade-related business losses. Additionally, reduced consumer spending and weakened export demand are constraining credit growth and investment appetite. The sector must now prioritize diversification, digital transformation, and robust scenario planning to navigate the heightened economic uncertainty and protect profitability.

Excess liability insurance provides additional financial protection by extending coverage limits beyond those of standard liability policies. It comes into effect only after the underlying insurance reaches its maximum payout, offering a higher level of security against major or unexpected liability claims.

The main types of excess liability insurance coverage include commercial umbrella, personal umbrella, follow-form excess, stand-alone excess, and industry-specific policies. Commercial umbrella insurance adds extra liability protection above the limits of a business’s primary insurance policies, safeguarding against large or unforeseen claims. Coverage limits range from up to USD 5 million, USD 5-10 million, and USD 10-50 million, to over USD 50 million. Distribution takes place through channels such as direct sales, brokers, online platforms, agents, and bancassurance. It is applied in both individual and enterprise contexts, with key industries including healthcare, construction, manufacturing, retail, financial services, transportation and logistics, and energy and utilities.

The excess liability insurance market research report is one of a series of new reports that provides excess liability insurance market statistics, including excess liability insurance industry global market size, regional shares, competitors with an excess liability insurance market share, detailed excess liability insurance market segments, market trends and opportunities, and any further data you may need to thrive in the excess liability insurance industry. This excess liability insurance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The excess liability insurance market includes revenues earned by entities by providing services such as catastrophic loss protection, claims administration, reinsurance programs, and specialty underwriting services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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