Macroeconomic risks to European insurers remain at a broadly stable level, according to EIOPA, and insurers’ portfolios of high-quality assets and broadly unchanged fundamentals are keeping credit risks steady.
According to the EIOPA’s July 2026 Insurance Risk Dashboard, there is however a worsening outlook on macroeconomic risks as recent geopolitical tensions pile downside risks on already weakened growth and higher inflation expectations.
The authority said financing costs and private credit vulnerabilities warrant monitoring concerning insurers’ portfolios.
Liquidity and funding conditions are broadly unchanged, supported by stable cash and liquid asset positions.
Furthermore, broadly unchanged capital positions and mixed profitability indicators underpin a stable medium assessment for solvency and profitability risks.
EIOPA said ESG-related risks are largely stable, with a modest increase in green bond holdings and little change in climate-related exposures.
