Specialty Insurance Market Trends: What’s Prominent so far in 2025?

The specialty insurance market continues to evolve, and 2025 is already showing notable shifts compared to last year. Based on my own observations and conversations across the market, here are some key developments shaping the landscape:

1. Modern Delegated Underwriting Platforms
There’s a clear move away from legacy systems toward more agile, scalable DUPs. I’m seeing strong traction with platforms like VIPR, BindHQ, Watertrace, and Genasys, especially as firms seek better data handling and compliance.

2. Pricing and Rating Engines
While Rulebook and Radar remain widely used, HX Renew has gained significant attention over the past 18 months, with many carriers now trialling or adopting it to support real-time, data-driven pricing.

3. Underwriting Intelligence & Digital Distribution
There’s increased focus on using data to improve underwriting decisions and expand reach through enhanced e-trade platforms, enabling faster, more efficient digital distribution.

4. Finance Transformation & Regulation
Finance transformation remains a priority, with the rollout of new ERP systems, accounting hubs, and tools to align with US GAAP and IFRS 17 requirements.

5. Growth Through M&A, Expansion, and IPO Readiness
M&A activity is up, with firms pursuing international growth—particularly in North America, the Middle East, and APAC. There’s also growing interest in IPO planning at board level, reflecting long-term growth ambitions.

6. AI: Early Adoption and Cautious Discovery
AI is on the radar, with early adopters making moves. That said, many are still in the discovery phase, exploring how to implement it effectively amid questions around readiness and integration.

These are just a few of the trends I’ve observed so far in 2025. I’m sure there are others I’ve missed, if you have additional insights or thoughts, I’d love to hear them.