In this week's news will talk about how Gallagher continues acquisition spree with two deals, Global insurtech funding in 2024 on track to reach $4.2 billion, and much more…
Progressive Home to stop offering dwelling fire insurance
Progressive Home has announced it will discontinue its dwelling fire (DP-3) proposition for non-primary residences, as part of a broader strategy to enhance the company’s capacity in the owner-occupied homeowners’ insurance market.
The DP-3 policy provided coverage for second homes, vacation properties, and rental units, but the product line will be phased out in favor of focusing on capacity for primary residences.
The transition is designed to strengthen Progressive’s core property insurance offerings and improve long-term stability, benefiting both policyholders and independent agents. Progressive will continue to offer its main suite of property policies, including homeowners, renters, condo, flood, and umbrella insurance, with the intent of dedicating more resources to these products.
Starting November 19, the insurer will no longer issue new DP-3 policies, and affected policyholders will begin receiving nonrenewal notices in line with state-specific regulatory requirements.
The DP-3 policy provided coverage for second homes, vacation properties, and rental units, but the product line will be phased out in favor of focusing on capacity for primary residences.
The transition is designed to strengthen Progressive’s core property insurance offerings and improve long-term stability, benefiting both policyholders and independent agents. Progressive will continue to offer its main suite of property policies, including homeowners, renters, condo, flood, and umbrella insurance, with the intent of dedicating more resources to these products.
Starting November 19, the insurer will no longer issue new DP-3 policies, and affected policyholders will begin receiving nonrenewal notices in line with state-specific regulatory requirements.
How will Trump's second term impact the insurance industry?
With Republican candidate Donald Trump securing victory in the 2024 presidential election, the White House is set to turn red.
While the weeks leading up to the election saw a closely contested race, ultimately, Trump secured decisive wins in critical swing states like Wisconsin, Georgia, and Pennsylvania. Breaking with traditional patterns - where Democrats typically prevail in smaller urban counties and Republicans dominate larger, less-populated rural areas - Trump made notable inroads in major cities, gaining significant support in metropolitan areas such as Miami, New York, and Chicago.
In the wake of election night, Insurance Business consulted industry experts to gauge the potential impact of Trump’s re-election. From regulatory shifts, to inflation control and tax reforms, these professionals offered insights on how Trump’s policies may reshape the insurance landscape in the coming years.
While the weeks leading up to the election saw a closely contested race, ultimately, Trump secured decisive wins in critical swing states like Wisconsin, Georgia, and Pennsylvania. Breaking with traditional patterns - where Democrats typically prevail in smaller urban counties and Republicans dominate larger, less-populated rural areas - Trump made notable inroads in major cities, gaining significant support in metropolitan areas such as Miami, New York, and Chicago.
In the wake of election night, Insurance Business consulted industry experts to gauge the potential impact of Trump’s re-election. From regulatory shifts, to inflation control and tax reforms, these professionals offered insights on how Trump’s policies may reshape the insurance landscape in the coming years.
Swiss Re increases P&C Re reserves by $2.4 billion amid US liability review
Swiss Re announced a $2.4 billion addition to its property and casualty reinsurance (P&C Re) reserves for prior-year US liability exposures in Q3 2024, following a comprehensive review.
This move, aligned with Swiss Re’s strategy to maintain reserves at the upper end of its best-estimate range, brought total reserve additions to $3.1 billion for the first nine months of the year. These additions were partially offset by releases in other business lines, resulting in a net reserve increase of $2.0 billion in P&C Re for the third quarter.
Group CEO Andreas Berger stated that bolstering the company's resilience has been a core management objective.
This move, aligned with Swiss Re’s strategy to maintain reserves at the upper end of its best-estimate range, brought total reserve additions to $3.1 billion for the first nine months of the year. These additions were partially offset by releases in other business lines, resulting in a net reserve increase of $2.0 billion in P&C Re for the third quarter.
Group CEO Andreas Berger stated that bolstering the company's resilience has been a core management objective.
Gallagher continues acquisition spree with two deals
Arthur J. Gallagher & Co. has expanded its presence in the employee benefits and property & casualty markets through the acquisition of two specialized agencies: Oklahoma-based Scout Benefits Group and California-based Statewide Commercial Insurance Brokers.
Scout Benefits Group focuses on employee benefits consulting, particularly in designing health plan strategies for clients in Oklahoma. Tiffany Davis, Todd Davis, and their team will continue operating from their current office, now reporting to Leah Vetter, who leads Gallagher’s Central region employee benefits consulting.
“Scout Benefits Group has a strong culture and industry reputation, and their capabilities in benefits consulting complement our own,” noted chair and chief executive J. Patrick Gallagher, Jr. “I am delighted to welcome Tiffany, Todd, and their associates to Gallagher.”
Meanwhile, Gallagher has also acquired Statewide Commercial Insurance Brokers (formally American Matar International), a retail property & casualty agency in Altadena. Statewide Commercial Insurance Brokers is known for its expertise in construction contractors, serving clients across California and several other states.
Scout Benefits Group focuses on employee benefits consulting, particularly in designing health plan strategies for clients in Oklahoma. Tiffany Davis, Todd Davis, and their team will continue operating from their current office, now reporting to Leah Vetter, who leads Gallagher’s Central region employee benefits consulting.
“Scout Benefits Group has a strong culture and industry reputation, and their capabilities in benefits consulting complement our own,” noted chair and chief executive J. Patrick Gallagher, Jr. “I am delighted to welcome Tiffany, Todd, and their associates to Gallagher.”
Meanwhile, Gallagher has also acquired Statewide Commercial Insurance Brokers (formally American Matar International), a retail property & casualty agency in Altadena. Statewide Commercial Insurance Brokers is known for its expertise in construction contractors, serving clients across California and several other states.
Global insurtech funding in 2024 on track to reach $4.2 billion
Insurance technology funding from venture capitalists is projected to close at $4.2 billion by the end of the year, according to “The State of Global Insurtech” report by Dealroom.co, Mundi Ventures, and MAPFRE.
In the first nine months, global insurtech investment already amounted to $3.2 billion, with the fourth quarter expected to see mostly Series B and C funding rounds for breakout-stage startups. These firms are said to be approaching pre-pandemic funding peaks.
“After the uncertainty of previous years, the global insurtech market is now showing signs of further stabilization,” said Javier Santiso, chief executive and general manager of Mundi Ventures. “While the frenzy has cooled, we are seeing a positive rebound in early-growth/breakout stages, particularly with Series B funding picking up.”
However, late-stage startups are facing significant funding challenges, with large-scale investments into Series D and later rounds seeing steep declines. The setbacks highlight investor caution around high-valuation, mature companies struggling to maintain momentum.
In the first nine months, global insurtech investment already amounted to $3.2 billion, with the fourth quarter expected to see mostly Series B and C funding rounds for breakout-stage startups. These firms are said to be approaching pre-pandemic funding peaks.
“After the uncertainty of previous years, the global insurtech market is now showing signs of further stabilization,” said Javier Santiso, chief executive and general manager of Mundi Ventures. “While the frenzy has cooled, we are seeing a positive rebound in early-growth/breakout stages, particularly with Series B funding picking up.”
However, late-stage startups are facing significant funding challenges, with large-scale investments into Series D and later rounds seeing steep declines. The setbacks highlight investor caution around high-valuation, mature companies struggling to maintain momentum.
