Insurance and reinsurance markets in Latin America

Mariza Costa, senior industry research analyst – economic and industry research, AM Best

Latin America’s growing economies and the resulting decline in poverty are creating increased demand for insurance and reinsurance products and services. That aspect, combined with relatively low investment returns in mature economies, has generated increased interest among global insurance and reinsurance providers toward Latin America. Concurrent with this trend has been the global shift toward stricter regulation of financial services companies. There has also been a marked increase in regulatory activity to support the insurance and reinsurance markets. In some instances, the focus is geared toward protecting local insurance interests or furthering national economic goals unrelated to insurance and reinsurance.