Asia-Pacific’s insurance sector saw the fastest growth in mergers and acquisitions (M&A) globally in 2025, with completed insurance transactions rising to 59 from 39 a year earlier and the region accounting for most of the largest insurance deals, according to Clyde & Co’s latest Insurance Growth Update. The law firm’s data shows APAC was responsible for four of the seven global “mega deals” valued at more than US$5 billion.
Clyde & Co’s analysis indicates that APAC played a larger role in global insurance deal flow in 2025, supported by sizeable transactions in Japan, Taiwan, and Hong Kong as well as activity in established regional hubs. Of the seven insurance mega deals completed worldwide, APAC recorded four: two transactions in Japan valued at US$8.2 billion and US$6.949 billion, one in Taiwan at US$8.251 billion, and a US$10 billion deal in Hong Kong. On a regional comparison, APAC’s insurance M&A count increased to 59 deals in 2025, up from 39 in 2024 and 52 in 2023. The Americas remained the largest market by number of insurance transactions, with 77 deals in 2025, down from 92 in 2024. Europe recorded 57 deals, slightly higher than 56 in the prior year, while the Middle East and Africa (MEA) saw 15 deals, compared with 17 in 2024.
Japanese insurers were among the most active buyers, using capital released from domestic portfolio changes to pursue acquisitions in overseas markets. Clyde & Co expects this approach to continue in 2026, with Japanese groups focusing on cross-border transactions to diversify income and broaden their presence in targeted segments and territories. “APAC was the standout region for insurance M&A in 2025, with deal activity rebounding strongly and several of the year’s largest transactions taking place in markets such as Japan,” Yvonne Lam, Australia-based partner at Clyde & Co and one of the report’s authors, said.
Within APAC, Australia and the main insurance hubs are seeing adjustments to M&A strategies as carriers and intermediaries respond to available capital, regulatory developments, and shifting risk exposures. Lam said the Australian insurance sector is increasingly influenced by developments across the broader region, including portfolio realignments by multinational groups. “In Australia, the insurance sector is benefiting from the stronger growth in the broader APAC region. We are seeing increased levels of strategic insurance M&A activity as new industry players enter the market in specialty areas and global groups look to restructure for streamlining of their regional operations,” Lam said.
Lam added: “With strong capital positions and a continued push for international expansion, particularly among Japanese insurers, we expect APAC to remain a key driver of global deal activity into 2026 across not only the traditional hubs of Hong Kong, Singapore, and China but also emerging markets such as India and Thailand.” Clyde & Co’s global figures show 211 insurance M&A deals completed in 2025, up from 204 in 2024 but well below the 346 recorded in 2023. The firm describes 2025 as a period of stabilisation following a 16-year low in 2024, with insurers and brokers focusing on portfolio optimisation, geographic refocusing, and selected capability-building rather than broad expansion.
The report points to a difference in behaviour between carriers and intermediaries, with intermediaries maintaining comparatively higher activity levels in 2025. Managing general agents (MGAs), brokers, and intermediary platforms – many with private equity backing – continued to account for a substantial share of global insurance deal volume as they pursued transactions to expand scale, distribution, and product offerings. Eva-Maria Barbosa, partner at Clyde & Co, said activity varied across the value chain. “This past year has almost been a ‘tale of two cities,’ as activity has been selective and steady on the carrier side, but in the intermediary space, particularly with MGA’s and brokers, we’re seeing continued momentum and a real depth of interest in the sector,” Barbosa said.
Barbosa noted that insurers are concentrating more on specialty lines – including energy transition-related risks, cyber, and AI exposures – and contingency business linked to large multinational events. She expects these areas to continue to influence dealmaking in 2026, with buyers focusing on targets that provide specific expertise or access in those segments. Cross-border insurance M&A remained a notable feature of the 2025 landscape, with 43 cross-border deals completed during the year. Clyde & Co anticipates further increases in such transactions in 2026, in line with trends in other parts of financial services where cross-border consolidation has gained traction in markets with favourable macroeconomic and regulatory conditions.
While Clyde & Co’s insurance-specific data shows an increase in APAC insurance M&A, GlobalData’s cross-sector analysis indicates that overall deal activity in the region eased in 2025. GlobalData reports that the combined number of M&A, private equity, and venture financing deals in APAC fell by 3% compared with 2024. “Deal activity was generally softer in most of the APAC markets, highlighting a broader regional pullback in line with the global trend amid uncertain market conditions. However, there were also pockets of growth, reflecting a selective risk appetite amid macro uncertainty and tighter financing conditions,” Aurojyoti Bose, lead analyst at GlobalData, said.
According to GlobalData, China’s total deal volume rose by 5% in 2025, while India recorded a 6% increase. Hong Kong and Vietnam also saw higher activity, suggesting that investors continued to commit capital to markets viewed as having ongoing growth prospects. In contrast, several major APAC economies recorded declines in overall deal volumes: Japan fell by 5%, Australia by 7%, South Korea by 26%, Singapore by 11%, and Malaysia by 19% year-on-year. Venture financing activity across the region was broadly stable, but M&A deals declined by 5% and private equity transactions dropped by 22%, pointing to more cautious use of leveraged or larger-ticket structures.
Looking ahead, both reports suggest that capital remains available for transactions in APAC, but that deployment is likely to remain selective and focused on clearly defined strategic objectives. Clyde & Co expects a modest increase in insurance M&A in 2026, supported by accumulated demand and continued interest from private capital in bolt-on and platform acquisitions. “In 2026, we expect a cautious but clear uptick in insurance M&A, driven by pent-up demand and abundant private capital targeting strategic bolt-ons. Activity should stay US-led, but we’ll see more cross-border moves into higher-growth emerging markets, for example, in the Middle East, where access to licences, talent, and local partnerships is commanding a premium,” Peter Hodgins, Partner at Clyde & Co, said.
The findings indicate that the region is likely to continue playing a significant role in global insurance M&A, with Japanese and other regional buyers active in cross-border deals and ongoing interest in specialty business, intermediary platforms, and selected emerging markets. At the same time, geopolitical developments, regulatory changes, and interest rate movements are expected to remain central considerations for boards and transaction teams planning deals in 2026.
