The Risk Dashboard, based on Solvency II data, summarises the main risks and vulnerabilities in the European Union’s insurance sector through a set of risk indicators.
The data is based on financial stability and prudential reporting collected from insurance groups and solo insurance undertakings.
Insurance Risk Dashboard October 2025 (Q2-2025 Solvency II Data)
Key observations:
The October 2025 Insurance Risk Dashboard shows that risks in the European insurance sector are stable at a medium level.
Macroeconomic risks remain steady at a medium level as growth and inflation forecasts as well as monetary policy expectations show little movement. Fiscal and credit indicators stay weak, while labour markets have also softened slightly.
Credit risks are unchanged, with a solid portfolio quality and limited market impact from recent fiscal and political developments.
Market risks stay elevated but stable. Volatility has eased somewhat, yet valuations remain stretched, warranting continued attention. Other annual indicators also contribute to maintaining the elevated overall risk profile.
Liquidity and funding conditions are steady, supported by stable cash positions and only minor changes in key indicators.
Profitability and solvency remain firm, with a slight improvement in insurers’ capital positions and strong levels of high-quality own funds.
Insurance risks show a downward trend, as life premium growth moderates and underwriting results stabilise.
ESG risks remain at a medium level, although with an increasing trend. Insurers’ investments in green bonds as a share of the overall green bond universe decreased slightly, while undertakings’ median exposure to climate-relevant assets grew.
Cyber and digitalisation risks are gaining prominence, with an increased perceived likelihood of incidents and growing concerns around the vulnerabilities of IT systems.
Go to the October 2025 Insurance Risk Dashboard
Note:
- The reference date for company data is Q2-2025 for quarterly indicators and 2024-YE for annual indicators. The cut-off date for most market indicators is the end of September 2025.
- The Level (color) corresponds to the level of risk as of the reference date, the Trend is displayed for the 3 months preceding the reference date and the Outlook is displayed for the 12 months after the reference date. The latter is based on the responses received from 23 national competent authorities (NCAs) and ranked according to the expected change in the materiality of each risk (substantial decrease, decrease, unchanged, increase and substantial increase).
Previous Dashboards
EIOPA's previous Insurance Risk Dashboards are available here.