APAC insurtech funding halved to $4.1b
Insurtech funding in Asia-Pacific dropped from $9.1 billion to $4.1 billion between 2018–2021 and 2022–2025, with India capturing 45% of regional capital. The market shifts from challenger insurers to technology providers.
Monday, July 20, 2026 — Universal Press Wire report
Asia-Pacific insurtech funding has declined sharply, falling from approximately $9.1 billion in 2018–2021 to around $4.1 billion in 2022–2025, according to NTT DATA’s Insurtech Global Outlook 2026. The number of deals also dropped from 383 to 202 over the same periods.
The report highlights a strategic shift in the region: investors are moving away from challenger digital insurers and toward technology providers, infrastructure firms, and insurance platforms.
India emerged as the dominant market, capturing roughly 45% of regional funding between 2022 and 2025, up from about 25% in the previous period. China’s share declined, while the combined share of Singapore and Indonesia rose from about 12% to 35%.
Recent deals include Singapore-based bolttech’s $147 million Series C in 2025 and Indonesian platform Qoala’s $47 million Series C. Other examples include Southeast Asian insurtech Igloo, the Smartpay and Chubb partnership in Japan, and Indian platforms InsuranceDekho, MediBuddy, and Perfios.
The shift comes as Asia faces a large insurance protection gap. Swiss Re estimates that 92% of the region’s natural catastrophe losses in 2025 were uninsured. NTT DATA says this gap increases demand for insurance embedded in other services, data-driven risk reduction, and partnerships between insurers, tech firms, and service providers.
Globally, cyber risk is now the largest uninsured business risk. Uninsured cyber losses are projected to rise from $171 billion in 2023 to over $700 billion by 2030. Climate-related uninsured losses total $180 billion, while liability claims have risen 57%.
The report also reveals a gap in AI adoption: 66% of insurance employees use AI tools, but only 22% of insurers have deployed AI systems in full production. Barriers include trust, governance, and operating structures. AI-based automation could reduce insurers’ operating costs by up to 35%.
Demand is growing for hyper-personalized and prevention-focused insurance. Spending on hyper-personalization is growing over 35% annually, and 67% of employers are increasing spending on prevention programs. Embedded insurance exceeded $116 billion in 2025.
Financing conditions are also evolving. U.S. insurance IPOs are at their highest in 20 years, while debt financing for start-ups reached $9.5 billion, exceeding equity funding.
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