Key Global InsurTech investment stats in Q1 2026:
- Global InsurTech investments rose by 27% YoY in Q1
- Deals over $100m grew by 28% as investors preferred larger deals
- Lassie, a prevention-first pet insurer that combines insurance coverage with everyday pet care, raised $75m in a Series C round, marking one of the biggest global InsurTech deals of the quarter
Global InsurTech investments rose by 27% YoY in Q1
Global InsurTech market recorded $943.4m across 42 deals in Q1 2026, a 15% decline in funding and an 11% drop in deal volume from Q4 2025, which had itself seen $1.1bn raised across 47 deals.
Stepping back further, Q1 2025 opened the year with 55 deals and $745.9m in total funding, meaning that on a year on year basis, Q1 2026 was up 27% in funding terms but down 24% in deal volume.
Average deal size across the period reinforces the broader trend, rising from $13.6m in Q1 2025 to $23.6m in Q4 2025 before settling at $22.5m in Q1 2026, reflecting a market that is concentrating capital into fewer, more considered bets rather than spreading it broadly across the sector.
Deals over $100m grew by 28% as investors preferred larger deals
The breakdown by deal size adds important context to those headline figures.
Funding from transactions under $100m reached $719.8m in Q1 2026, up 26% compared to $570.9m in Q1 2025 and 32% ahead of the $547.1m recorded in Q4 2025.
Larger transactions of $100m or more came in at $223.6m in Q1 2026, up 28% from the $175m recorded in Q1 2025, though still 60% below the $564m seen in Q4 2025.
The contrast between the two deal size categories is telling, with smaller transactions showing consistent momentum whilst the high-value end of the market remains some way off the levels seen at its most recent peak.
Lassie, a prevention-first pet insurer that combines insurance coverage with everyday pet care, raised $75m in a Series C round, marking one of the biggest global InsurTech deals of the quarter
The round was backed by Balderton Capital, Felix Capital, Inventure, Passion Capital and Stena Sessan.
Founded in Stockholm, the company currently operates in Sweden, Germany and France, insuring around 250,000 pets, and reports more than $100m in annual recurring revenue.
Automation sits at the heart of its operating model, with around 60% of claims in Germany now processed end to end in approximately six minutes.
The company’s app-based approach drives daily engagement well above industry norms, with active usage of around 25% against a sector average of 8 to 9%.
Lassie is targeting a fast-growing market, with the global pet insurance sector forecast to reach around $80bn by 2033, driven by rising veterinary costs and shifting attitudes to pet ownership across Europe. Proceeds will be used to accelerate expansion into further European markets.
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