PwC has disclosed that the insurance sector recorded $31.8 billion in M&A deals across 207 transactions between June 1 and November 30, and expects deal activity in 2026 to be broadly in line with this year.
Notably, in the past six months alone, seven insurance megadeals exceeding $1 billion have been announced.
The $31.8 billion figure across 207 transactions for the period compares to $30 billion and 209 disclosed deals for the prior six months.
Looking ahead to H1 2026, PwC has suggested that carriers are likely to continue focusing on capital optimisation and portfolio reshaping through M&A transactions.
The firm explained that P&C M&A activity is picking up, as many carriers have reported improved loss ratios and record underwriting profitability, making the sector more attractive to investors and strategic buyers.
At the same time, there is reportedly pressure on P&C premium rates, which may lead to additional deal activity as carriers seek to maintain top-line growth through acquisitions.
Meanwhile, life and annuity (L&A) platforms continue to remain attractive to both private equity and other investors looking to “capture spread earnings and expand capital” under management.
“In addition, we expect ongoing international interest in US L&A and P&C carriers. Reinsurance capacity is also expected to remain active, with carriers increasingly turning to sidecars and structured reinsurance solutions to manage volatility and optimise capital outside of traditional M&A,” PwC added.
The firm concluded, “Insurance distributors remain attractive to corporate buyers looking for top-line revenues and new talent, and L&A providers continue to draw interest from private equity and other investors seeking long-duration assets and expansion into international markets
“Moreover, companies in the insurance sector looking to generate top-line growth, optimise capital, and reshape portfolios remain motivated sellers.
“As a result, we expect the insurance deals market to remain active in the first half of 2026. While overall markets face potential economic headwinds, the insurance sector will benefit from lower interest rates and products that can withstand declining consumer performance and confidence.”
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