Middle Market Indicator: Performance, Outlook and Dynamics

Chubb partners with the National Center for the Middle Market (NCMM) to support the Middle Market Indicator (MMI), a semi-annual research survey launched in 2012.

The MMI polls 1,000 executives (CEOs, CFOs, and other financial decision-makers) from middle market companies with $10 million to $1 billion in annual revenue. The report presents results from the MMI survey fielded in December of 2024, which explored executives’ thoughts on business performance, growth drivers, economic outlook, business risks and managing risk.

Key findings from the Spring 2025 MMI Report can be found below:

As of December 2024, middle market companies grew revenues, expanded their businesses and workforce, and considered the future of the economy.

Total middle market growth was 12.1%. Companies anticipate continued revenue growth, albeit at a slower rate (8.9%) in 2025.

Companies across multiple sectors expanded into new international markets. As they prepare to lead their companies into new territories around the globe, executives are aware of the uncertainty created by geopolitical issues and fluctuating regulatory and economic environments.

Top Risks

When executives considered more than a dozen risks, three emerged as most pressing:

• Inflation/recession (41%)
• Cybersecurity (34%)
• Talent shortages/employee retention (33%)

Risks were also identified by sector (see the Industry Practices Spotlight)

Climate and Resilience
With climate change on the radar, some companies are tackling the risks, but more work remains to be done.  Nearly half (45%) of companies are extremely or very concerned about the impact of climate change. Another 36% report mild concern.

One in five firms were impacted by natural disasters in 2024, and these events continue to become more frequent and severe due to climate changes. More than half of companies impacted reported significant or moderate operational disruptions from these events.

Artificial Intelligence and Digitization
As executives strive to leverage the clear benefits of digitization and AI, many are uncertain about their future technology strategy. This could be partially due to the difficulty of recruiting the right talent. Over the past year, more firms have shifted from exploring AI to actively testing AI and integrating it into their operations. 

While many of executives say they are adequately covered by their current insurance, notable numbers report a lack of sufficient protection. 56% of companies feel they are adequately covered. Nearly 44% report needing more coverage or are not covered, with casualty areas identified as especially urgent.

Companies are deploying multiple resources to manage risk. More than half of those surveyed are extremely or very reliant on their insurance agent or broker to support them in risk management efforts. Roughly 85% of companies hire a third-party provider for risk assessment services. These services could range from cyber, credit, compliance and regulatory risk assessments, to supply chain and business continuity evaluations.