India is the second-largest insurance technology market in Asia-Pacific and accounts for 35 percent of the $3.66 billion insurtech-focused venture capital invested in the region, according to S&P Global Market Intelligence data.

The data showed that at least 335 private insurtechs are operating in Asia-Pacific, with about 122 of them disclosing $3.66 billion in aggregate capital raised via private placement deals.

"China and India are collectively home to nearly half of private insurtech companies in the APAC region and attracted about 78 percent of the investments," a report by S&P Global Market Intelligence said. The two markets will continue to corner the lion's share of investor interest on account of their large and fast-growing insurance markets, it added.

"India is the second largest insurance technology market in Asia-Pacific. India has at least 66 insurtech companies and accounted for 35 percent of the USD 3.66 billion in insurtech-focused venture capital invested in the APAC region. "Insurance technology investors are attracted to India since it is one of the fastest-growing insurance markets in the world," S&P Global Market Intelligence fintech analyst Sampath Sharma Nariyanuri said.

Insurance premiums in India totalled $107 billion in India for 12 months ended March 31, 2020, after growing at a compound annual growth rate (CAGR) of 10 percent from fiscal 2015 to fiscal 2020, he added.

The report noted that big technology companies like Tencent Holdings, Ant Group Co Ltd, Amazon.com Inc and Grab Holdings Inc will influence the insurtech ecosystem in the region, thanks to their role as investors, partners and competitors. For technology startups chasing consumers online, collaborations with popular lifestyle and e-commerce platforms could be important for scale.

"While big techs are vying to become digital intermediaries in the insurance space, established carriers are building proprietary digital channels. Startups that assist both incumbents and big techs in making this transition will likely emerge as winners," the report said.

(Edited by : Abhishek Jha)