Key global InsurTech investment stats in Q4 2025:
- Global InsurTech funding doubled YoY in Q4
- US companies secured six of the top 10 deals to cement the country’s position as the leading InsurTech hub globally
- Federato, a Californian InsurTech specialising in AI-native software for insurance underwriting and policy administration, secured one of the biggest global InsurTech deals of the quarter with a $100m Series D capital raise
Global InsurTech funding doubled YoY in Q4
In Q4 2025, the global InsurTech sector raised $961.1m across 46 deals, representing a substantial increase compared with the $444.4m secured from 39 transactions in Q4 2024.
This reflects a 2.2x growth in total funding alongside a 17.9% increase in deal volume, indicating that the rebound was driven both by larger individual rounds and by a higher number of completed transactions.
The divergence between the much stronger growth in capital raised relative to deal count suggests that average deal sizes expanded materially, pointing to a renewed appetite among investors to deploy larger cheques into InsurTech towards the end of 2025.
US companies secured six of the top 10 deals to cement the country’s position as the leading InsurTech hub globally
The composition of the top 10 deals also evolved between the two periods.
In Q4 2025, the US continued to lead with six of the largest transactions, although this was slightly down from the seven secured in Q4 2024.
However, the remaining four deals in 2025 were far more geographically diversified, with Brazil, Sweden, Thailand and Bermuda each contributing one top transaction.
By contrast, Q4 2024 was more concentrated, with France accounting for two of the top 10 deals and India for one, alongside the dominance of the US.
This shift from a Europe-and Asia-focused secondary group in 2024 to a broader mix including Latin America and offshore financial centres in 2025 highlights an expanding international footprint for large InsurTech investments.
Federato, a Californian InsurTech specialising in AI-native software for insurance underwriting and policy administration, secured one of the biggest global InsurTech deals of the quarter with a $100m Series D capital raise
The round was led by Growth Equity at Goldman Sachs Alternatives, alongside continued backing from Emergence Capital, Caffeinated Capital, StepStone Group and Pear VC, as the sector accelerates its shift away from legacy systems towards AI-driven operating models.
Founded in 2020 by CEO Will Ross and CTO William Steenbergen, the San Francisco-based company has developed an end-to-end platform spanning the full insurance policy lifecycle, including midterm endorsements, renewals, extensions and premium audits, while using AI to evaluate and rank submissions in real time for underwriters.
The latest funding follows its $40m Series C completed in November 2024, taking total capital raised to $180m, and will be deployed to support ongoing product development, international expansion and aggressive hiring across data science, engineering, design, marketing and product teams as Federato seeks to capitalise on the rapid adoption of agentic AI across insurance operations.
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