Credit and Political Risk Insurance Capacity Survey and Market Update

This document is a market update and capacity survey for Credit and Political Risk Insurance (CPRI) conducted in January 2025. It outlines the current state of the CPRI market, noting a 19% increase in deals sent to market in 2024, with over 15,000 communications sent to an expanding number of insurers. The survey includes insights from 75 CPRI markets, highlighting significant changes in industry exposure, including a shift where exposure to renewables has surpassed that of the oil and gas industry. It also discusses the hierarchy of factors influencing the market, such as credit rating, tenor, and capacity. The report details the total notional CPRI capacity per transaction and provides a comparative analysis of capacity growth across different CPRI products, including transactional credit and political risks. The findings indicate that while the political risk market appears to be shrinking, some insurers have increased their typical line sizes, reflecting a nuanced market landscape.