# Latin American insurance and insurtech growth > Live situation record from CLSTR: https://clstr.news/situations/latin-american-insurance-and-insurtech-growth > Updated: 2026-08-18T21:45:02.000Z. Sources: 2. Developments: 2. The insurance and insurtech sectors in Latin America are seeing significant growth driven by technological integration. In the Dominican Republic, reports indicate that AI-driven customer retention tools can increase insurance margins by up to 30% and improve retention rates by 5-10%. Concurrently, firms like Humano Seguros are expanding physical infrastructure, such as a new regional office in La Romana, to enhance client services. Broadening to the Central American region, the insurtech ecosystem is expanding rapidly, with the number of active startups reaching 40. This represents a 29% year-on-year increase in the first half of 2026, making it the fastest-growing zone in Latin America. Industry discussions, including those at the Evolución Insurtech Latam event, highlight a growing demand for agentic artificial intelligence and advanced AI architectures to improve operational efficiency and cybersecurity. ## Timeline ### 2026-08-18: Insurtech sector expands in Central America and adopts AI Central America's insurtech sector grew 29% in early 2026, reaching 40 startups. Meanwhile, firms are increasingly adopting agentic AI to drive operational efficiency in the insurance industry. 2 sources. https://clstr.news/cluster/insurtech-sector-expands-in-central-america-and-adopts-ai ### 2026-07-28: Dominican insurers boost growth with AI retention tools and new regional office BCG reports AI retention can lift Dominican insurers' margins up to 30%, while Humano Seguros opens a new regional office in La Romana to enhance client services. 3 sources. https://clstr.news/cluster/dominican-insurers-boost-growth-with-ai-retention-tools-and-new-regional-office --- Cite as: Latin American insurance and insurtech growth. CLSTR, https://clstr.news/situations/latin-american-insurance-and-insurtech-growth