Insurtech funding rebounds, driven by private equity
Global insurtech funding rebounded 19.5% in 2025, fueled by record re/insurance investments and private equity's renewed interest in tech modernization.
Insurtech funding reached $9.7 billion in 2025, with the late-stage re/insurance sector experiencing a substantial boost. This surge marks a significant recovery from the funding slowdown observed in previous years. Private equity firms are increasingly targeting insurtech companies, especially those focused on modernizing legacy systems. Their investment aims to capitalize on the growing demand for digital solutions within the insurance industry. The renewed interest from private equity could lead to further consolidation within the insurtech space. Established players may acquire smaller, innovative firms to enhance their technological capabilities.
