Priya Patel
TLDR:
Sostengo, a Salvadoran InsurTech, secures $3.8m in funding to expand its digital insurance solutions to underserved markets, with plans to enter the U.S. market. The company saw a 103% year-over-year growth in premiums sold and aims to revolutionize the traditional insurance model by offering mobile-based policies.
Key Points:
- Sostengo secures $3.8m in funding round to expand digital insurance solutions
- Company plans to enter the U.S. market with additional $1m allocated
Sostengo, a Salvadoran InsurTech, has secured $3.8m in its latest funding round as it looks to expand its digital insurance solutions to underserved markets. The investment round, with participation from PeopleFund, saw a 103% year-over-year growth in premiums sold, highlighting the company’s impact and rapid expansion in the insurance sector. Less than 10% of vehicles in Central America are insured, presenting a vast unprotected segment that Sostengo aims to target with their consumer-centric and mobile-based insurance platform.
The CEO of Sostengo, Estuardo Escobar, expressed excitement about the funding round, emphasizing the company’s goal to position itself as a pioneer in digital insurance within the region. With plans to introduce their tailored solution to U.S. Hispanics, Sostengo aims to continue evolving the industry and promote insurance as a vital long-term investment. The innovative approach of Sostengo has the potential to bridge the gap in the underserved insurance market and revolutionize the traditional insurance model.
