Building on the positive momentum towards the end of 2022, buying conditions for Directors and Officers (D&O) insurance have continued to improve in 2023. This is driven primarily by heightened competition in the market following a recovery in insurer margins and improvements in perceived rate adequacy. This has contributed towards greater program flexibility due to expanded supply side dynamics, in the form of increased new capacity, and a broadening of participating insurer appetite.
Following several insurance cycles of upward premium pressure, Aon’s proprietary data at H1 2023 marks the third consecutive bi-annual average price reduction across Aon’s portfolio.
In contrast to these market dynamics, insurers continue to contend with an active claims environment and an evolving risk landscape which may lead to ongoing premium volatility in the medium term.
The outlook for the remainder of 2023 is positive for buyers of D&O insurance. However, the broader macro-economic conditions will impose some caution for insureds in certain sectors.
Download our D&O Insurance Market Insights, H1 2023 for further insights.
 Aon proprietary data – sample portfolio of risks over the review period