EIOPA risk dashboard highlights market and cyber risks as key concerns for Europe’s insurers

The European Insurance and Occupational Pensions Authority (EIOPA) published today its October 2026 Insurance Risk Dashboard. The main findings show that market and cyber risks remain elevated amid a geopolitically complex environment.

• Macroeconomic risks remain at a medium level, with a deteriorating outlook against a backdrop of persistent geopolitical instability and elevated uncertainty. While the economy continues to show resilience, rising interest rates could put further pressure on the sustainability of sovereign debt.
• Credit risks remain stable amid moderately wider spreads supported by insurers’ high-quality asset portfolios and broadly unchanged fundamentals, even as debt financing costs and private credit quality require continued monitoring.
• The increase in bond market volatility towards the end of September 2026 keeps market risks elevated. Looking ahead, the risk outlook remains influenced by the potential for a broader market correction and uncertainty over whether renewed geopolitical tensions could lead to a repricing of risk premia.
• Broadly unchanged capital positions and mixed profitability indicators support a stable medium assessment for solvency and profitability risks.
• 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.
• 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.
• 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.

View the full 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 second quarter of 2026 and end-2025. The data is based on financial stability and prudential reporting collected from 95 insurance groups and 2092 solo insurance undertakings. The Solvency II information is complemented with market data with a cut-off date of end of September 2026.