Start Your 2025 Insurance Planning Today

We live in a world that is changing constantly. These changes create risk trends that will impact your business. As you start your planning for 2025, we thought you might want to consider these. 2025 will provide a perfect storm due to a number of factors, including U.S. elections, the cost of healthcare, changes in employment laws, political unrest throughout the world, and continued tightening of federal laws relating to business operations.

It will be important to evaluate your business insurance program to make sure these and their items are managed properly. Nearly 90% of the executives polled said that they plan to increase their investment in risk management in the next two years, and more than one in four (26%) said they would up their spending by more than 20% in that time. Source: PC360

1. Commercial pricing. The commercial market may soften in 2016. This will allow businesses to consider other coverages, such as flood, EPLI, or pollution liability.
2. Increased reliance on technology will lead to better run insurers and stable premiums. The development of advanced loss control analytic tools will revitalize insurers focus on claim reduction, and potentially lead to increased investments in loss control. Insurers are using business intelligence to leverage “big data” to help them estimate claims, assets, credit, and market data and gain deeper insights across networks of producers, policyholders, and operations.
3. Every business will need to consider cyber insurance. Most businesses have a greater risk of cyber-attacks than n they do of having a fire. Cybersecurity was big news last year. Hardly a week went by without a report of a data breach in some industry. In fact, the Identity Theft Resource Centerreported a record high of 1,283 data breaches in 2024, a 30 percent increase from 2024’s numbers.
4. With changes in healthcare, many experts are predicting a shift in workers’ compensation coverage to help off-set increases in healthcare. Medical costs may shift away from health insurance and into workers’ Compensation.