Insurance stocks led the gains on Monday, closing up 2.15 percent, after the projected insured loss in the U.S. resulting from Hurricane Irma was cut to between $20 billion and $40 billion by AIR Worldwide forecast.
Among the top gainers in Europe's insurance index were Beazley, Swiss RE and Munich Re, which all finished trade 4 percent or higher. Germany's Hannover Re finished at the top of the benchmark, jumping 5.38 percent.
Looking at the health care sector, Danish pharmaceuticals company, Lundbeck, tumbled to the bottom of the benchmark on Monday. The group's CEO Kare Schultz resigned from his position and opted to join Israeli drug company, Teva. Shares in Lundbeck sank 13.8 percent .
Sticking with the sector, Roche shares slipped 1.27 percent following news of the failure of trials for its skin cancer treatment Zelboraf.
Pharma heavyweight AstraZeneca however reported two of its drugs tackling lung cancer had delivered impressive clinical results on Saturday. Its shares rose 2.08 percent.
Elsewhere, Swedish-based fashion retailer, H&M jumped 2.9 percent, after the group received a rating upgrade from Credit Suisse. The bank upgraded the firm by two notches to "outperform" from "under-perform".