Costa Rica Insurance Market Report 2024: Growth, Trends, and Key Players
The Costa Rican insurance market experienced solid growth in 2024, reflecting both structural stability and increasing demand across various segments. According to the 2014-2024 Insurance Market in Costa Rica Report the industry expanded by 10% in nominal terms compared to the previous year, with total premiums reaching CRC 1,180 Billion.
Growth was driven by the general insurance sector, which surged 16.3%, while personal insurance saw a more moderate rise of 4.6%. The market, valued at USD 2.385 million, registered a notable 15.3% increase in dollar terms.
The National Insurance Institute (INS) remains the dominant player, controlling 64.8% of the market, followed by Pan American Life and ASSA, each holding 7.9%. Notably, Best Meridian, LAFISE, and Sagicor achieved the highest market share gains in 2024.
Key Insights
The general insurance segment led the market expansion, reaching CRC 576,521 million, a 16.3% rise from 2023. This growth was largely fueled by the automobile insurance category, which increased by an impressive 33.1%, and the compulsory automobile insurance (SOA), which grew by 11.1%.
The personal insurance sector exhibited a more restrained growth of 4.6%, totaling CRC 604,133 million. Within this segment, the health insurance category performed strongly with a 12.6% increase, while life insurance experienced a slight contraction of 2.1%.
The Costa Rican insurance industry remains highly concentrated, with INS continuing to dominate the market with a 64.8% share. Pan American Life and ASSA each captured 7.9%, while MAPFRE and ADISA followed with 4.1% and 3.7%, respectively.
Market share movements in 2024 favored emerging players. Best Meridian saw the most significant increase, gaining 0.62 percentage points in market share, followed by LAFISE with 0.61% and Sagicor with 0.43%. Pan American Life also expanded its footprint, increasing by 0.39%.
The total market size reached USD 2.385 billion, marking a 15.3% year-over-year expansion. The sustained growth in local currency, coupled with a favorable exchange rate environment, contributed to this positive performance in dollar terms.
Market Overview
The Costa Rican insurance market demonstrated strong resilience and steady growth throughout 2024. The total premium volume increased to CRC 1,180,653 million, representing a 10.0% nominal year-over-year growth. This expansion was primarily driven by the general insurance segment, which reached CRC 576,521 million, up 16.3% from 2023. The standout category was automobile insurance, which saw a remarkable 33.1% increase, highlighting a surge in demand for vehicle protection. The compulsory automobile insurance (SOA) segment also performed well, registering an 11.1% growth.
Personal insurance exhibited a more tempered expansion, growing by 4.6% to CRC 604,133 million. Health insurance was a key contributor, with a 12.6% rise in premium volume, reflecting heightened awareness of medical coverage needs. Conversely, the life insurance segment contracted by 2.1%, indicating potential shifts in consumer preferences or pricing strategies within this category.
In terms of market competition, the industry remains heavily concentrated, with INS maintaining a dominant 64.8% market share. Pan American Life and ASSA followed at 7.9% each, while MAPFRE and ADISA accounted for 4.1% and 3.7%, respectively. Despite this concentration, smaller insurers made notable gains in 2024, with Best Meridian increasing its market share by 0.62 percentage points, followed by LAFISE and Sagicor with gains of 0.61% and 0.43%, respectively. Pan American Life also strengthened its position, adding 0.39% to its market share.
The total market size in U.S. dollar terms expanded significantly, reaching USD 2.385 billion, a 15.3% increase compared to 2023. This substantial growth was supported by strong performance across key segments and favorable economic conditions. The Costa Rican insurance industry continues to evolve, offering opportunities for both established players and emerging competitors seeking to capture a larger share of this expanding market.