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Insurtech funding in LatAm dipped in 2024 but number of startups continues to rise: MAPFRE

Written by Insurance Nerds Editorial Team | Mar 14, 2025 8:25:24 PM

LatAm Insurtech Landscape: Funding Drops, Startups Thrive

According to the latest report from Digital Insurance LATAM, sponsored by MAPFRE, insurtech funding in Latin America saw a noticeable decline in 2024. Despite this downturn in capital, the number of insurtech startups continues to grow, indicating a dynamic shift in the region's insurance technology sector.

Key Findings

The ninth edition of the LatAm Insurtech Journey outlines several important trends in the region's insurtech ecosystem. Here are the highlights:

  • Funding Decline: Investment in insurtech has decreased in 2024 compared to previous years.
  • Startup Growth: Despite lower funding, the number of startups in the insurtech space is increasing.
  • Continued Innovation: New entrants are innovating across various areas, seeking to meet changing consumer needs.

Who is Impacted?

The rise in startups could benefit consumers seeking more options and tailored insurance solutions. However, the dip in funding may pose challenges for these companies in scaling their operations and achieving long-term sustainability. Established insurers and venture capitalists might need to reassess their strategies to support emerging players in this evolving marketplace.

Looking Ahead

The evolving landscape suggests that while financial backing may be tightening, the entrepreneurial spirit remains strong. This resilience could point to a maturing market where startups are learning to adapt and innovate even in less favorable conditions.

As indicated by the original announcement, the insurtech arena in LatAm is one to watch, with its unique challenges and opportunities potentially reshaping the insurance industry across the region.

Original Source: https://www.reinsurancene.ws/insurtech-funding-in-latam-dipped-in-2024-but-number-of-startups-continues-to-rise-mapfre/