Personal lines report
Insurance consulting Insurance market insight Insurance analyticsLCP’s annual Personal Lines report considers the key drivers of recent historical performance and provides our projections of market performance over 2025/26.
Under pressure: Market outlook for personal lines insurance
The personal lines insurance market has faced significant challenges in recent years. Gaining a clear understanding of the broader market trends is crucial for staying competitive and relevant in the years ahead.
This report examines the key factors influencing recent market performance and offers projections for market trends in 2025/26. It includes insights on premium trends, claims projections, and other elements impacting the market's net combined operating ratio. Additionally, we highlight key topics that home and motor insurers should proactively address as they approach year-end 2025.
Inside you'll find:
- Analysis of premiums, claims forecasts and other key factors affecting the market’s net combined operating ratio.
- Overview of current and emerging trends in motor and home insurance.
- Introduction of pet insurance trends, highlighting areas insurers should consider in preparation for 2026.
Explore the latest personal lines report
Read nowThe UK personal lines market has witnessed notable changes in recent years. Fluctuations in performance have been driven by inflation, supply chain disruptions, and regulatory changes. Insurers are still working through the consequences of 2022/23’s significant losses and maintaining profitability continues to be a challenge.
Katie Garner Senior Consultant and report author
Insurers across all sectors will need to improve efficiency, leverage technology, and adapt to changing market conditions to maintain profitability and meet customer needs.
Ed Harrison Partner and report author
Personal lines webinar
During this webinar our experts covered a range of subjects for both motor and home insurers, including market performance, key trends and market predictions for 2025/26.
Read the previous personal lines report
2024: Shifting gears
Read nowYour questions answered
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Personal lines insurance provides coverage for individuals against everyday risks. It protects people and their property, offering financial security in the event of accidents, damage, or unexpected loss.
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This type of insurance typically covers motor vehicles, travel, pets, homes and other personal assets. It can also include liability protection, ensuring individuals are financially safeguarded against claims or damages.
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Regulatory changes could impact pricing, claims handling, and capital requirements for insurers. These shifts may affect profitability, operational processes, and how insurers structure products to remain compliant and competitive.
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Insurers can focus on digital innovation, customer experience, risk management, and tailored product offerings to stay ahead.
