Crabi bags $13.6m to expand digital auto cover in Mexico

June 6, 2025

Crabi, a full-stack digital auto insurance company based in Mexico, has secured $13.6m in a new funding round to boost its AI-powered insurance offering and expand access to affordable vehicle coverage nationwide.

The round was led by Kaszek and IGNIA, with further participation from 30N Ventures, Redwood Ventures, Carao Ventures, Azuro Capital, Newtopia VC, and a number of other investors.

Founded to simplify and modernise car insurance in Mexico, Crabi offers real-time, mobile-first services including instant policy issuance, automated claims handling, and transparent pricing. Its platform is designed to address the country’s insurance gap, where more than 70% of vehicles remain uninsured despite Mexico being one of Latin America’s largest automotive markets.

The fresh capital will be used to expand Crabi’s distribution network, onboard new partners, and further develop its AI-driven underwriting and operational infrastructure. The company aims to use these investments to close the protection gap by bringing formal coverage to millions of previously underserved drivers.

In the past three years, Crabi has posted strong growth, more than doubling annually, significantly improving its loss ratio, and increasing its run rate over 20 times.

Crabi CEO and co-founder Daniel Bernardez said, “At Crabi, we’ve proven that insurance can be scaled profitably when you put automation, AI, and customer experience at the heart of your operation.

“Applying modern engineering and data science to legacy insurance processes unlocks massive gains in pricing, speed, and risk selection. But none of that matters unless you’re also building the right infrastructure, aligning technology with regulation from day one. This new capital allows us to double down on both fronts, expanding access to affordable coverage while building a smarter, more inclusive insurance system for Mexico,” added Bernardez.

Kaszek Ventures partner Nicolás Berman said, “Crabi is the most disciplined and well-positioned insurtech we’ve seen in Latin America. Their combination of proprietary infrastructure, regulatory edge, and scalable distribution puts them in a league of their own. We believe Crabi will set the standard for what modern insurance looks like across the region.”