AI and Geopolitical Shifts Top Emerging Risks for Insurance Industry in 2026

Adverse outcomes from artificial intelligence (AI) and shifts in geoeconomics are top risk concerns for senior insurance leaders, particularly in the long term, according to a joint survey by the Society of Actuaries Research Institute and the Casualty Actuarial Society.
In 2026, economic and geopolitical risks dominate near-term concerns of C-suite executives, especially financial volatility and shifts in globalization.
The focus on technological risks, especially AI adverse outcomes, intensifies as the timeframe extends to three or more years, overtaking geopolitical risks.
Life insurance C-suite leaders primarily worry about financial investment risks, whereas property and casualty leaders are most concerned about extreme weather events and geoeconomic shifts.
Consulting firm leaders are notably preoccupied with adverse outcomes from AI as their primary risk concern in 2026.
Climate-related risks have receded from being viewed as an “emerging” concern in recent years due to greater predictability and integration into risk frameworks.
Geopolitical risks have evolved from concerns about armed conflict to focus more on sanctions, tariffs, and trade controls.
Executives remain cautiously optimistic about the economic outlook for 2026, anticipating moderate growth but expecting a weaker labor market and moderate inflation.

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