"Growth of the insurance market in Peru drives innovation and personalization."

The insurance market in Peru is experiencing notable growth, driven by changes in consumer preferences and a recovering economic environment. According to recent data from the Superintendence of Banking, Insurance, and AFP (SBS), premium sales have grown by 9% annually over the past five years, reaching S/ 22,042 million per year. For 2024, this figure already shows an 11% increase, suggesting dynamism in the insurance industry. The life insurance segment has become prominent, representing 55% of the total market and showing an 11% growth over the last five years. This shift is reflected in the growing interest in innovative products such as Return Life Insurance and Private Annuities, which have surpassed the popularity of traditional policies like credit life insurance. This trend is attributed to increased awareness of the importance of having insurance, particularly after the lessons learned during the COVID-19 pandemic. Ian Scofield, Vice President of Mass, Digital, and Analytics at Interseguro, notes that the evolution of these products responds to consumer demands for not only protection but also savings and investment options. With a year-on-year accumulated variation of 21% up to October 2024, life insurance is positioned as the engine of growth in the sector. Scofield highlights that life insurance has been redesigned to cater to specific user profiles, making it more accessible and attractive to a broader audience. Gonzalo Barreto, Planning and Finance Manager at Pacífico Seguros, emphasizes that product personalization has become essential. The trend towards embedded insurance, which provides protection during everyday transactions, is gaining ground. Examples of this include accident insurance for travel on platforms like RedBus and specific coverage for events on Ticketmaster, underscoring a more comprehensive and accessible approach to consumer protection. Meanwhile, Mapfre has introduced its Return Life Insurance, which not only covers deaths and accidents but also offers a return of up to 200% on the premiums paid. This type of product aligns with the current demand for solutions that integrate savings and financial security, reflecting a clear trend towards innovation in the sector. The landscape of business insurance is also changing. Although general insurance still represents 33% of the total market and has grown by 6% in five years, increasing digitalization and the rise in cyberattacks have led insurers to innovate their offerings. Pacífico Seguros has launched a Cyber Insurance policy that provides coverage for loss of income and legal costs arising from data breaches, tailoring to the specific needs of each client, from small businesses to large corporations. Moreover, sustainability and ESG (environmental, social, and governance) criteria are gaining prominence. Companies are increasingly seeking products that align with responsible practices and promote the adoption of clean technologies. This new vision of insurance is aligned with a broader approach to social responsibility and sustainability in the business realm. La Positiva, another prominent company in the market, has also identified opportunities in specialized policies such as CAR (construction all risk), which are used in large-scale projects like Quellaveco and the port of Chancay. This type of insurance is crucial in a context where infrastructure investments are on the rise, and small and medium-sized enterprises are expected to benefit from this growth as well. In summary, the insurance market in Peru is undergoing a transformation, with a clear interest in products that offer a combination of protection, savings, and profitability. With double-digit growth projections for 2025, it is evident that companies must adapt to evolving demand and embark on a path towards innovation, personalization, and sustainability to capture the opportunities that arise in this dynamic sector.