Chinese cargo business surged 19% on e-commerce, EV, photovoltaic and lithium battery exports.
Global marine insurance premiums rose 5.5% to $42.6b in 2025, but the underlying market remained soft due to increased capacity, competition and currency movements, according to the International Union of Marine Insurance (IUMI).
IUMI said the weaker US dollar had a significant impact on reported premium growth, with major reporting currencies appreciating by about 7% to 13%.
After adjusting for currency movements, market conditions remained soft across major marine insurance lines.
Europe accounted for 46.5% of global premiums, followed by Asia-Pacific at 30.8%.
Cargo remained the largest line at 57% of premiums, followed by ocean hull at 24.7% and offshore energy at 11.1%.
Cargo premiums rose 6.9% to $24.2b, with China a key growth driver.
Chinese cargo premiums increased 19%, supported by e-commerce and exports of electric vehicles, photovoltaic products and lithium batteries.
Asia accounted for 36.4% of global cargo premiums, narrowing the gap with Europe at 37.6%.
Ocean hull premiums increased 9.4% to $10.5b, although fleet growth continues to outpace growth in hull premiums.
The global fleet is expected to grow by about 3% by the end of 2026, whilst the average vessel age has reached 22.4 years, increasing maintenance and repair costs.
Offshore energy premiums were broadly unchanged at $4.82b, rising 0.1%. The UK accounted for 62.7% of the global market.
“Once currency effects are taken into account, the market remains soft across all major business lines, with increased capacity adding to competitive pressure,” said Veith Huesmann, IUMI chief analyst.
IUMI said the claims environment remained relatively stable, with no major catastrophic loss affecting the market in 2025, although attritional losses continued to weigh on profitability.