“Megadeals” are ruling insurance industry mergers and acquisitions as action remained consistent throughout 2025, with the prospect that the need for growth will drive more deals in 2026.

According to a new report from PwC, 93 percent of deal value during the second half of 2025 was driven by what it calls “megadeals.”

The insurance sector reported 207 transactions from June 1 to Nov. 30, 2025 with $31.8 billion in deal value. The previous six months had 209 disclosed deals worth $30 billion, PwC said in its 2026 US Insurance Deals Outlook.

PwC noted seven announced megadeals of $1 billion in the last six months: Brown & Brown’s acquisition of Accession Risk ($9.8 billion); Sompo’s Endurance Specialty acquisition of Aspen Insurance ($3.5 billion); Randian’s buy of Indigo ($1.7 billion); DB Insurance’s agreement to acquire Fortegra ($1.7 billion); AIG’s joint acquisition of Convex Group with Onex Corp. ($7 billion); CVC Capital Partners buy of a majority stage in White Mountains’ Bamboo ($1.8 billion); and an Acquarian-Brighthouse Financial deal in the life and annuity market ($4.1 billion).

Looking ahead, PwC said carriers will probably “continue focusing on capital optimization and portfolio reshaping through M&A transactions. 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.”

Insurance M&A is holding remarkably steady as megadeals dominate activity and buyers stay aggressive across distribution, P&C, and L&A. PwC’s new report breaks down why deal value remains high, what’s behind the seven recent $1B+ transactions, and how carriers and distributors are leaning on creative financing heading into 2026.

“In coming months, expect interest rate developments and an industry-wide search for growth to strongly influence insurance deals activity,” said Mark Friedman, PwC U.S. insurance deal leaders.”