Came across similar scenario and the CASE expression was useful to me.
UPDATE reports SET is_default =
case
when report_id = 123 then true
when report_id != 123 then false
end
WHERE account_id = 321;
Reports - is a table here, account_id is same for the report_ids mentioned above. The above query will set 1 record (the one which matches the condition) to true and all the non-matching ones to false.