CB Insights – State of Insurtech, Q1 2024

The first quarter of 2024 saw a significant decline in insurtech funding, with the lowest level since 2018. Funding dropped 18% quarter-over-quarter to $0.9 billion, particularly in P&C insurtech which decreased by 25%. However, the overall deal count slightly increased from 104 in Q4’23 to 107 in Q1’24. In Europe, there was a 17% increase in deal count, marking the first jump since Q2’22, with startups raising 28 deals and funding rising to $284 million. Notably, there were no $100M+ mega-round deals in Q1’24, a first since 2018. The median deal size in 2024 increased to $5 million, up 19% from 2023, with an uptick in median early-stage deal size. Additionally, M&A exits in insurtech plummeted to just 5 in Q1’24, the fewest since 2018, while fintech M&A exits remained relatively stable.