Market conditions for high-net-worth and family office life insurance remain highly favorable heading into 2026, supported by record underwriting capacity and continued digital transformation. Carriers are using AI, big data, predictive analytics and generative tools to strengthen risk assessment, accelerate decision-making and improve precision in large-case underwriting. Capacity and retention remain at historic highs, with major carriers auto-binding significant face amounts through expanded reinsurance structures.

Private Placement Life Insurance continues to build momentum as a tax-efficient solution for investing and intergenerational wealth transfer, reflecting growing demand among HNW and UHNW families. Interest from foreign nationals is also increasing, driven by strong U.S. carrier balance sheets and high death-benefit capacity. Carriers continue refining product portfolios as long-term guaranteed death-benefit structures become more expensive to maintain due to reserve requirements. Life settlement activity is rising as demographic patterns shift, and many older estate-planning policies are no longer needed.

The broader environment further supports long-term legacy planning. Favorable legislative conditions continue into 2026 through the One Big Beautiful Bill Act, strengthening the estate-planning landscape. Elevated interest rates improve carriers balance sheets and support stabilized to increasing crediting to policyholder cash values. Artificial intelligence remains one of the most significant market drivers, reshaping underwriting, pricing, distribution and policy servicing across the sector.