Insurtech funding in Latin America reached $121 million in the first half of 2025, marking a 370% increase from the same period in 2024. This amount exceeds the total for all of 2024 by 32%, according to the latest insurtech report from MAPFRE.
The data indicates continued investor interest in the region’s insurance technology market, despite macroeconomic uncertainties and earlier signs of a global slowdown in insurtech investment.
Brazil received the largest share of capital, attracting $89 million, or 74% of the region’s total. Investment by business line showed a concentration in life and care (65%) and mobility (33%), which MAPFRE said signals where investor confidence is currently focused.
As of mid-2025, the region’s insurtech ecosystem comprises 507 active companies, reflecting a 2% overall growth. While slower than in previous quarters, the expansion is positive when adjusted for closures.
With a 9.4% mortality rate among start-ups, net growth over the last 12 months stands at +11%, equivalent to the addition of 56 new companies. MAPFRE said this sustained expansion points to a resilient and maturing sector capable of both surviving early-stage volatility and attracting continued innovation.
Breaking down the number of active insurtechs by country, Brazil leads with 203, followed by Mexico at 129 and Argentina at 95. Chile has shown the fastest proportional growth at +29%, supported by a low mortality rate. These four markets continue to account for the majority of insurtech activity across Latin America.
"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,” MAPFRE scouting and investment lead for corporate innovation Carlos Cendra (pictured above) said.
The first half of 2024 represented a low point for insurtech financing, with only $26 million raised across the region. This marked a 78% decline from the same period in 2023, reflecting tightening funding conditions across the broader technology investment landscape. However, according to MAPFRE, despite the funding drop, the number of active start-ups continued to rise modestly, increasing by 6% during the same period.
The downturn in early 2024 was followed by a significant rebound in the latter half of the year. MAPFRE reported that insurtech funding increased by 156% in the second half of 2024, bringing total annual financing to $92 million.
While still below historical highs, this recovery demonstrated renewed investor interest and laid the groundwork for the $121 million recorded in the first six months of 2025.
MAPFRE noted that internationalization remains a key indicator of ecosystem development. The percentage of insurtech firms operating in more than one country rose 36% in the first half of 2025, reaching 18.3%.
Peru, Chile, and Colombia have driven much of this expansion, with internationalization rates of 58%, 31%, and 26% respectively. Brazil, despite being a large market, now holds 10% of international insurtechs – an increase noted for a market with traditionally limited cross-border expansion.
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