Insurance Industry Navigates Turbulent Times, Executives Report Heightened Stress
The first quarter of 2025 has presented a complex landscape for businesses. From a new presidential administration to economic instability, the challenges have been significant. The insurance industry, however, appears to be weathering the storm, with many major property and casualty insurers reporting record incomes for 2024. Despite this, stress is a growing concern for industry leaders and the clients they serve.
According to a study recently released by Sentry Insurance, executive stress levels have increased significantly. The survey, conducted by Wakefield Research on behalf of Sentry, found that 67% of polled executives reported feeling more stressed at the beginning of 2025 compared to the start of 2024. Moreover, the survey revealed that 74% of executives are not entirely confident that their company’s current insurance coverage is adequate.
“Our research highlighted a recurring theme: managing risk is a big part of managing stress,” said David Dickinson, customer research director at Sentry. “Executives are experiencing worsening external challenges and putting strategies in place to protect the future of their businesses. This year, many are increasing safety measures, reassessing their insurance, and making adjustments to navigate external pressures.”
Wakefield Research surveyed 1,000 U.S. company owners and C-suite leaders for Sentry’s 2025 C-Suite Stress Index. Nearly half (47%) of business leaders expressed optimism about their companies’ prospects for the year. However, 63% of these optimists described their stress levels as higher compared to the same time last year. The leading concerns cited by survey participants included economic uncertainty (47%), supply chain challenges (44%), the cost of employee healthcare (41%), labor shortages (38%), and inflation (36%).
Beyond economic and labor concerns, 72% of surveyed executives expressed worry about the rise in litigation and multi-million-dollar verdicts within their industry. Severe weather has also impacted businesses, with 90% reporting being affected in the last five years. Furthermore, almost two-thirds (63%) experienced outages that temporarily disabled company, customer, or vendor systems.
In terms of insurance strategies, Sentry’s findings indicate that nearly all executives (97%) plan to re-evaluate their insurance policies this year. This presents an opportunity for insurance agents and brokers. According to the study, 43% of respondents will reassess their policies with an eye toward adding insurance coverage to lower risks. Additionally, 38% are looking to address areas where they currently lack coverage but recognize the need for it.
Andrea Wells, Vice President of Content for Wells Media Group Inc.
