While claims declined, roof losses continue to grow more severe and less predictable, driven by aging housing stock, widespread hail exposure and rising replacement costs, according to Verisk.
The 2026 hurricane season, which starts on June 1, is projected to be below average, with eight to 14 named storms expected.
As personal auto policy shopping reached historic highs, distracted driving also increased, especially among older drivers.
While insurers saw declines in claims in 2025, emerging risks are visible in the claims data.
AccuWeather is predicting between 11 to 16 named storms, including four to seven hurricanes and two to four major hurricanes.
One in three consumers would consider digitally altering their claim photos or documents, according to a report released by Verisk.
From artificial intelligence (AI)-driven operational shifts and dynamic climate modeling to heightened cyber and privacy risks, 2026 is shaping up to be a year of transformation for the insurance industry.
2025 is on track to be the lowest claim volume year in recent history, yet cost management remains critical as severity trends continue to increase, according to Verisk.
1. The homeowners market outlook has been upgraded to stable, with AM Best citing stronger catastrophe risk management, steadier reinsurance market conditions and gradually improving pricing adequacy.
While storms may not make landfall in the U.S., they are becoming increasingly unpredictable and intensify rapidly, warns the National Oceanic and Atmospheric Administration (NOAA).
