Insurtech financing in LatAm up 370% to $121m in H1’25

Insurtech financing in Latin America reached $121 million in the first half of 2025, marking a 370% increase compared to the same period last year, according to a report by Digital Insurance LATAM, sponsored by MAPFRE.

This figure also surpasses total funding for all of 2024 by 32%, highlighting the region’s potential and the resilience of its insurtech ecosystem in attracting new investment rounds.

Brazil accounted for the majority of the investment flow, with $89 million—representing 74% of the total investment in H1’25.

By business line, life & care accounted for 65% and mobility for 33%, reflecting growing interest in both sectors.

The number of insurtech start-ups in the region rose to 507, representing a 2% growth rate. While this signals a slight slowdown, the trend remains positive. The mortality rate was 9.4%, and organic growth stood at 11%, equal to 56 new start-ups in the past 12 months.

The territories with the highest number of start-ups in the region are Brazil with 203, Mexico with 129, and Argentina with 95. Chile recorded the highest percentage increase at 29%.

The internationalisation index rose by 36% in H1’25 to 18.3%, indicating that the number of multinational start-ups continues to rise. Peru (58%), Chile (31%), and Colombia (26%) were key drivers, and Brazil now accounts for 10% of international insurtech companies.

Hugues Bertin, CEO and Founder of Digital Insurance LATAM, described internationalisation as a sign of “good ecosystem health, since the probability of a single-country insurtech disappearing is three times higher.”

The foreign company attraction index reached 32%, up eight points from the first half of 2024. This means that, on average, three out of 10 insurtechs in a market are foreign. Colombia (66%), Peru (53%), and Mexico (42%) attract the most foreign insurtech companies.

The report also noted that, over the past four years, there has been a clear evolution—from a distribution-centric model, which previously represented 60% of the ecosystem, to one focused on enablers, which now accounts for 50% and continues to grow.

Bertin added, “In just five years, the insurtech ecosystem in Latin America has become a fundamental axis of the transformation of insurers and large brokers.

“In almost all countries, insurer CEOs are actively promoting collaboration with increasingly robust insurtechs. Co-building the protection of the future through technology is no longer a monopoly of insurtechs: the entire ecosystem—from traditional players to regulators, including insurtech associations—is organizing collaboratively with a common purpose: increasing insurance penetration, understanding and mitigating risks, and improving operational efficiency without neglecting the customer experience.”

Carlos Cendra, Scouting & Investment Lead for Corporate Innovation at MAPFRE, said, “This start of the year has yielded very positive data for the Latin American insurtech ecosystem. In general, all countries or regions continue to grow or strengthen.

“In fact, in terms of funding, the pre-pandemic investment level was reached during the first half of the year alone, and if the momentum continues, the $221 million invested in 2022 could be exceeded. All of this, with start-ups that add significant value to the ecosystem, such as Blue Marble and Past-Post, among many others mentioned in the report. Thus, the outlook for the rest of the year looks positive, and at MAPFRE, as usual, we will continue to closely monitor market movements.”

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