EIOPA has published its October 2026 Insurance Risk Dashboard. In the authority’s release, the main findings show that market and cyber risks remain elevated amid a geopolitically complex environment.
Market and Cyber Risks Stay Elevated
On market risk, EIOPA says that the increase in bond market volatility towards the end of September 2026 keeps market risks elevated. Looking ahead, the release says that the risk outlook remains influenced by the potential for a broader market correction.
On digitalisation and cyber, EIOPA states that digitalisation and cyber risks are elevated, with a worsening outlook, reflecting concerns over frontier AI models, digital spillovers from geopolitical conflicts, and insurers’ exposure through cyber underwriting.
Macroeconomic, Credit, Solvency and ESG Categories
On macroeconomic conditions, EIOPA says that macroeconomic risks remain at a medium level, with a deteriorating outlook. It adds that, while the economy continues to show resilience, rising interest rates could put further pressure on the sustainability of sovereign debt.
On credit, EIOPA says that credit risks remain stable amid moderately wider spreads supported by insurers’ high-quality asset portfolios and broadly unchanged fundamentals.
On solvency and profitability, EIOPA says that broadly unchanged capital positions and mixed profitability indicators support a stable medium assessment for solvency and profitability risks.
On ESG, EIOPA says that ESG-related risks are largely stable, with a modest increase in green bond holdings. That said, supervisors expect the outlook for this risk category to deteriorate over the next 12 months.
Insurance Risk Falls to a Low Level
On insurance risk, EIOPA says that strong premium growth across life and non-life business, alongside an improved upper tail of the loss ratio distribution, means that insurance risks have declined to a low level.
The Data Behind the Dashboard
On the dashboard itself, EIOPA says that the dashboard, based on Solvency II data, summarises the main risks and vulnerabilities in the European insurance sector.
On the underlying data, the release says the data is based on financial stability and prudential reporting collected from 95 insurance groups and 2092 solo insurance undertakings. The release adds that the Solvency II information is complemented with market data with a cut-off date of end of September 2026.
InsuraBeat has separate coverage of an earlier insurance risk dashboard. InsuraBeat has separate coverage of its occupational pensions dashboard.
