Private Markets Now Core to Insurer Portfolios According to BlackRock

Insurance News Desk: BlackRock’s 15th annual Global Insurance Survey makes clear that private markets have moved from the edges of insurer portfolios into a central role. The research gathered views from 463 insurers operating across 31 markets that together manage more than 24 trillion dollars in assets.

According to the survey published in late October 2026 more than nine in ten of these firms now put at least five percent of their portfolios into private assets and over 40 percent allocate more than 15 percent.

The trend shows no sign of reversing. Seventy six percent of respondents said they plan to raise their private market holdings over the next twelve months while the remaining 24 percent intend to keep current levels steady. That figure is lower than the 94 percent who planned increases a year earlier yet the survey describes the change as a sign of maturity rather than retreat. Insurers are shifting from broad expansion toward more careful selection based on portfolio fit relative value and practical implementation.

Private debt stands out as the strongest area of demand. Forty one percent of the insurers surveyed named it as a category they expect to increase making it the clear leader among private asset classes.

Many plan to access these investments through separate accounts or tailored mandates rather than pooled funds reflecting a desire for greater control and alignment with their specific liability profiles.

The survey also notes that the broader operating model is evolving alongside the asset allocation shift. Eighty four percent of respondents describe their approach to asset management as hybrid combining internal teams with external managers and nearly half expect to rely more on outside partners in the year ahead.

Mark Erickson BlackRock’s global insurance strategist observed that insurers increasingly seek partners who can support not only investment decisions but also capital and technology needs in a more complex environment.

Macro conditions appear to support continued interest. Inflation remains the top concern for 62 percent of respondents yet fears of recession have almost halved to 18 percent from 35 percent the previous year.

A majority of insurers globally now expect a soft economic landing. Against that backdrop private markets are viewed as a durable source of income and diversification rather than a temporary alternative.

Taken together the findings show private markets have become an established and growing part of how insurers manage their long term obligations. The emphasis has moved from simply adding exposure to refining how that exposure is built and managed across portfolios that must balance yield liquidity and capital efficiency.