New research also finds that no single risk constitutes a clear top threat, as leaders of mid-sized market enterprises have to deal with cyber security, artificial intelligence, macroeconomic, and regulatory pressures simultaneously.
- Despite increasing investment in risk management, 75% of leaders in medium-sized market enterprises still do not fully understand the scope of their insurance coverage.
- In the plans for 2027, no single risk dominates: cybersecurity, operational costs, and artificial intelligence are almost on par.
- 75% of enterprises now have formal Enterprise Risk Management ( ERM ) programs, which is a 14 percentage point increase from last year, but only 37% of them describe these programs as truly mature and comprehensive.
Chicago, October 15, 2026 / PRNewswire / -- According to a new study published by HUB, medium-sized market enterprises are investing more resources in risk management than ever before, but this has not translated into a clear understanding of their insurance coverage. HUB is a leading global insurance brokerage and financial services company. The HUB 2026 Medium-Sized Market Profitability and Resilience Report found that 75% of leaders do not fully understand what their insurance policies cover, despite an increasing number of organizations adopting formal risk management programs; this gap is particularly noteworthy as business leaders begin to plan for 2027.
This new report, based on proprietary research conducted across North America, defines this gap as "risk fatigue," which refers to the decline in an organization's confidence and ability to respond to risks over time due to repeated exposure to warnings and high-pressure situations. The research findings are based on a survey of senior business leaders from medium-sized market enterprises.
HUB, President and CEO, Marc Cohen stated: "Enterprise leaders are making more efforts in risk management than ever before, but our research shows that these efforts have not translated into a clear understanding of which types of threats are the most important or what exactly insurance coverage protects against. Bridging this gap is where HUB's deep expertise in the mid-sized market comes into play. These organizations face increasingly complex and new risks, and our HUB experts help them accurately understand what this means and what risk exposures they face."
This gap is not only reflected in the awareness of insurance coverage but also in the maturity of internal risk management within organizations. The latter determines whether preparatory efforts can be translated into stronger business performance and the confidence one has when pursuing goals. There are three main factors that contribute to this gap:
- Protection and understanding are not always in sync. 75% of leaders do not fully understand what their current insurance policies cover. This is the most striking finding from this year's survey. Knowing what is covered, restricted, or excluded helps leaders identify gaps and make more informed decisions about how protection and risk management can support their business.
- There is no longer a clear top risk. When asked about the primary risks affecting profitability, leaders mentioned cybersecurity (45%), operating costs (43%), adoption of artificial intelligence (38%), macroeconomic pressures (37%), regulatory challenges (31%), and geopolitical challenges (31%).
- Risk fatigue is slowing down action. Confidence in the ability to mitigate risks has declined in almost all measurement categories. Only 16% of organizations express complete confidence in their current insurance situation, and even fewer are exploring new ways to utilize insurance.
The same gap is also reflected in how risks are managed within organizations:
- 75% of organizations indicate that they have formal Enterprise Risk Management (ERM) projects, which is an increase of 14 percentage points from last year. Nevertheless, the adoption of ERM has not resulted in a risk management approach that truly covers the entire organization for most of these entities.
- Although 72% of organizations align risk mitigation with compliance requirements, only 37% of leaders describe it as a mature and comprehensive approach, supported by open information sharing and cross-team collaboration.
- Only 30% of leaders stated that past, current, and future risks have influenced organizational decisions, and only 17% believed that every employee is responsible for risk management.
As companies move towards 2027, the HUB 2026 Midsize Market Profitability and Resilience Report outlines specific steps that organizations can take to bridge this gap. The full report and its methodology are available for viewing here.
HUB 2026 Midsize Market Profitability and Resilience Executive Survey Method
The HUB 2026 Midsize Market Profitability and Resilience Executive Survey gathered insights from senior business leaders across various industries in North America, covering sectors such as agriculture, construction, education, financial institutions, hospitality, non-profit organizations, and real estate. The survey was conducted online and included 18 questions that addressed the risks organizations anticipate facing in the coming year, how these risks may impact profitability and resilience, and how leaders are using insurance and risk management strategies to respond. More than half of the respondents came from organizations with between 500 and less than 2,000 employees, and the majority of respondents' organizations had annual revenues ranging from 150 million dollars to less than 1 billion dollars.
About Hub International
Hub International Holdings, Inc. ("HUB") is headquartered in Chicago, Illinois, and is a leading global insurance brokerage and financial services company that provides risk management, insurance, employee benefits, retirement, and wealth products and services. HUB has offices throughout North America and employs over 21,000 people to help clients move forward with clarity and confidence – achieving every goal they set. For more information, please visit Hub Media Center.
Media contact:Marni Gordon
Telephone: 312-279-4601Email: [ email protected ]Media contact:Jessica Wiltse
Telephone: 312-596-7573Email: [ email protected ]









