EIOPA insurance risk dashboard shows broadly stable risk environment even as cyber and geopolitical risk intensify

The European Insurance and Occupational Pensions Authority (EIOPA) published today its July 2026 Insurance Risk Dashboard. The main findings show that risks in the European insurance sector are stable at a medium level. 

• Macroeconomic risks are assessed at a medium level, although with a worsening outlook as recent geopolitical tensions pile downside risks on already weakened growth and higher inflation expectations. 
• Insurers’ portfolio of high-quality assets and broadly unchanged fundamentals keep credit risks steady, although financing costs and private credit vulnerabilities warrant monitoring.
• Market risks moderated through end-June, but renewed geopolitical tensions and commodity market volatility have darkened the outlook, while concerns about elevated valuations and the potential for a broader market correction persist.
• Liquidity and funding conditions are broadly unchanged, supported by stable cash and liquid asset positions.
• Broadly unchanged capital positions and mixed profitability indicators underpin a stable medium assessment for solvency and profitability risks.
• Strong premium growth supports a medium assessment for insurance risks, despite some deterioration in loss ratios and uncertainty around war- and trade-related coverages.
• ESG-related risks are largely stable, with a modest increase in green bond holdings and little change in climate-related exposures.
• Digitalisation and cyber risks have increased to a high level, reflecting frontier AI developments, geopolitical tensions and elevated cyber underwriting exposures.

View the Dashboard

Background 

This Insurance Risk Dashboard, based on Solvency II data, summarises the main risks and vulnerabilities in the European insurance sector through a set of risk indicators from the first quarter of 2026 and end-2025. The data is based on financial stability and prudential reporting collected from 96 insurance groups and 2091 solo insurance undertakings. The Solvency II information is complemented with market data with cut-off date end-June 2026.