Insurance Capital Markets Research (ICMR) expects the Lloyd’s market to post a combined ratio below 90% in its upcoming 2025 results, based on results reported to date by 17 of the 27 RISX index constituents.
In a new report, ICMR described the expected underwriting results as “exceptional”, adding that returns on capital are likely to exceed 20% for the third consecutive year.
Together, these indicators suggest that the world’s leading specialty insurance and reinsurance market will maintain sustained, high-quality profitability for a period of time.
“While the overall equity market was muted at the start of the year, specialty sectors are surging,” the ICMR report added.
It is said that the RISX Index has gained 6.9% year to date (as of February 20, 2026), and the gap with the general insurance benchmark and the industry-specific insurance benchmark has widened significantly.
ICMR noted that a key driver of this recent momentum was Zurich’s announcement of a possible acquisition of Beazley.
ICMR’s report explains: “The move didn’t just boost Beazley’s share price; it served as a catalyst for the wider industry, boosting peers such as Hiscox and reaffirming the scarcity value of high-performance professional platforms.”
Zurich was recently granted an extension to a “let it go or shut up” deadline related to its potential acquisition of Beazley.
The deadline has been pushed back to March 4, 2026, giving Zurich until 5pm (London time) on that date to confirm its clear intention to make an offer or announce that it does not intend to proceed with its bid for the specialist insurer.
ICMR’s report concluded: “Historically, capturing the unique returns of the Lloyd’s market has been a challenge for many investors. Directly backing syndicates with capital (the traditional route) remains a complex and often illiquid process.
“The RISX Index presents a compelling alternative: an equity strategy based on the listed owners of Lloyds Enterprises.
“By providing a proxy for the market like a single listed company, the RISX Index provides investors with a liquid, transparent way to earn Lloyd’s-like returns through the public markets, bypassing the structural barriers to direct capital support.”