The market has moved “deeper into the soft phase”, driven by abundant insurer capital, investment income, growth budgets, delegated authority expansion and aggressive competition for premium, Bellrock Advisory says.

Downward pressure has continued despite there being no material reduction in underlying claims or structural shift in loss trends, and the broker says pricing across some classes looks disconnected from the claims and economic environment.

“Across the June renewal period we have observed that competition between insurers remains intense, insurer capital continues to flood the market and pricing in several classes remains underdisciplined,” CEO Marc Chiarella said.

Bellrock’s update notes falling prices and a soft outlook in management liability, construction material damage and construction liability, professional indemnity and cyber.

In property, high-quality risks are securing favourable renewals, including flexibility, higher limits and some modest premium reductions, while caution remains around flood, cyclone, bushfire, expanded polystyrene cladding, lithium batteries and poorly maintained assets.

The commercial general liability market is competitive for most businesses, with strong insurer appetite, available capacity and competitive local pricing, but insurers are becoming more selective, with greater focus on risk complexity.

In motor, well‑managed fleets with low claim frequency and severity are securing flat to 5% rate drops. Poor‑performing fleets, heavy vehicles and elective vehicle‑exposed portfolios are seeing 5%-15% gains as insurers respond to repair cost inflation, parts delays, advanced driver assistance system recalibration, and high‑frequency loss patterns.

The Bellrock update examines influences in the local and global trading environments.

“The important difference from January is that the soft market is now sitting alongside greater economic and legal stress: budget tax reform, construction feasibility pressure, private credit scrutiny, geopolitical disruption and more active courts,” the broker says.

The report is here.