Key Global InsurTech investment stats in Q1 2025:
- Global InsurTech funding increased by 59% YoY
- US firms secured half of all InsurTech deals in Q1 2025 to remain as the leading InsurTech hub
- High Definition Vehicle Insurance (HDVI), a technology-first commercial auto InsurTech, secured one of the largest InsurTech deals of the quarter with a $40m growth capital raise
Global InsurTech funding increased by 59% YoY
In Q1 2025, the global InsurTech market showed a mixed performance, with funding increasing despite a decline in deal volume.
Total funding rose to $1.1bn, a 59% increase from the $718m raised in Q1 2024.
However, the number of deals dropped by 22%, falling from 91 to 71.
This divergence suggests a shift in investor focus towards fewer but higher-value opportunities, as the sector begins to stabilise after a prolonged downturn.
While the rebound in funding points to a gradual return of confidence, the lower deal count reflects continued caution in broader investment activity.
US firms secured half of all InsurTech deals in Q1 2025 to remain as the leading InsurTech hub
The United States remained the most active InsurTech market globally, accounting for 37 deals (52% share) in Q1 2025, down from 45 deals (49% share) in Q1 2024.
The United Kingdom followed with five deals (7% share), slightly down from seven deals last year.
Spain and Brazil each recorded four deals (6% share), rising into the top three from outside the top ranks in Q1 2024.
Germany and Canada, which were among the most active countries in the previous year, did not appear in the top tier for Q1 2025.
These shifts highlight how newer markets such as Spain and Brazil are gaining traction within the global InsurTech ecosystem, even as the United States continues to hold a dominant position.
High Definition Vehicle Insurance (HDVI), a technology-first commercial auto InsurTech, secured one of the largest InsurTech deals of the quarter with a $40m growth capital raise
The round was co-led by existing investors 8VC, Autotech Ventures, Munich Re Ventures, and Weatherford Capital, and will accelerate the expansion of HDVI’s telematics-based product suite, nationwide coverage, and digital tools for agents.
HDVI’s platform leverages over 7.5bn miles of telematics data to transform underwriting and claims processing, enabling dynamic pricing, real-time risk assessment, and tangible safety improvements for fleet operators.
Since launching HDVI Shift™ in 2021, the company has achieved a 107% compound annual growth rate while maintaining a loss ratio well below industry averages.
With enhanced reinsurance capacity from A+ rated global reinsurers and a leadership transition geared for scaling, HDVI is doubling down on its data-driven approach to redefine commercial auto insurance by aligning safety performance with pricing incentives and operational efficiency.
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