Insurance brokers are increasingly compelled to begin renewal discussions months earlier than usual as geopolitical instability, trade tensions and supply chain disruption inject fresh uncertainty into global insurance programmes.
According to one broker leader, the pace of political and regulatory change is forcing companies to abandon the traditional annual renewal cycle in favour of continuous consultation, as external developments increasingly affect coverage terms, pricing and compliance obligations.
“We’re definitely much more involved now,” said Will Mulè (pictured), executive vice-president and global risk solutions practice leader at Hub International. “It’s no longer a case of saying, ‘Here’s your insurance policy – see you next year.’”
Instead, brokers are encouraging clients to engage far earlier in the renewal process to allow time for contingency planning should geopolitical events alter market conditions or local regulations shortly before renewal deadlines.
“It’s really so we have more flexibility to pivot if something happens that affects policy language, coverage or pricing,” Mulè said. “If we can get ahead of the game, it gives us more ability to adapt in our clients’ favour.”
The shift comes as multinational businesses contend with escalating disruption to global trade flows. Attacks on commercial vessels in the Strait of Hormuz and instability across other major shipping corridors have forced many companies to redesign logistics networks and reassess operational exposures.
For insurers and brokers, those disruptions are translating into more complex underwriting discussions, particularly around marine cargo, political risk and business interruption coverage.
“What we are seeing is concern around supply chain disruption,” Mulè said. Companies that previously relied on straightforward shipping routes are increasingly rerouting goods through multiple jurisdictions or shifting portions of transport onto land routes, creating additional compliance and insurance complications.
“So now it’s about having not just a Plan B, but Plans C, D and E as well, because the situation changes daily,” Mulè added.
Marine insurance has emerged as one of the areas most exposed to geopolitical volatility. Brokers say some carriers are tightening policy language or introducing exclusions tied to conflict zones and high-risk transit routes.
Industry pricing data reflect those pressures. War-risk premiums for vessels transiting parts of the Middle East and Red Sea have risen sharply over the past year, while shipping consultancy Drewry has reported increased freight costs linked to rerouting and congestion.
Travel and employee mobility risks are also becoming a larger part of renewal discussions. Mulè said clients are paying closer attention to how government travel advisories interact with insurance exclusions, particularly for employees travelling to politically sensitive regions.
Many policies contain exclusions triggered by official “do not travel” warnings, potentially leaving companies exposed if staff enter restricted territories.
At the same time, demand for kidnap and ransom insurance and specialist security support is rising among companies and non-profit organizations operating internationally.
“Those conversations are becoming more detailed,” Mulè noted. “Clients are also going beyond those programs now, depending on where they’re travelling and what they’re doing. Some clients travel to sanctioned or otherwise excluded countries. It’s important that we have in-depth conversations not only with clients but also with carriers to ensure that when these trips happen, people are still covered.”
Political risk insurance is also moving into the mainstream as companies seek protection against currency devaluation, sovereign intervention and political violence. Mulè said clients were increasingly assessing whether operations in certain countries remained commercially viable and whether some risks should be retained internally rather than transferred to insurers.
The Allianz Risk Barometer 2026 found that business interruption remained one of the top concerns for global companies, while geopolitical risk and political violence climbed to their highest levels since the survey began. Marsh has also warned that growing protectionism and geopolitical fragmentation are increasing the likelihood of acute supply chain failures.
For Mulè, the result is a more advisory-focused role for brokers. “There’s a lot more planning,” he said. “Even then, the world can look completely different by the time renewal actually arrives.
“Last year was extremely busy politically and legislatively. Italy introduced a compulsory requirement for natural catastrophe coverage to be attached to property policies following recent earthquakes. China also introduced cash-before-cover rules very late in the year. Thankfully, we have strong broker partners in those countries who warned us in advance.
“It’s become a constant process. Before, you could set the policy and strategy and leave it alone for a while. Now it’s constant consultation.”
