Mexican Insurers Cover Risks Totaling 13x GDP: AMIS

Mexican insurance companies cover risks equivalent to 13 times the nation’s gross domestic product, with premiums totaling MX$908.79 billion, according to the Mexican Association of Insurance Institutions (AMIS). 

Norma Alicia Rosas, Director General, AMIS, said the costliest claim in the industry’s history in Mexico has been the COVID-19 pandemic, at US$3.01 billion. Hurricanes Wilma and Otis followed with US$2.81 billion and US$2.16 billion, respectively. Hurricane Odile ranked fourth at US$1.51 billion, and the Sept. 19, 2017, earthquake was fifth at US$1.51 billion.

Pedro Pacheco, President, AMIS, said the association, along with the National Commission for the Protection and Defense of Users of Financial Services (Condusef), agents, and promoters, is planning the first Insurance Week in early November.

Rosas noted that the industry has faced challenges, including modernization in the mid-20th century and now confronts risks from climate change and rapid urbanization. She emphasized the need for risk awareness, prevention, and insurance coverage to build national resilience.

As of the fourth quarter of 2024, insurers in Mexico had paid MX$522 billion in claims across all segments and held total assets of MX$2.13 trillion, making them the country’s third-largest institutional investors. Most investments are in government bonds.

The sector’s portfolio is composed of 41% auto insurance, 21% life, 19% accidents and health, 15% property damage, and 4% pensions. AMIS projects pensions will account for 25% of the sector by 2050.

The first insurance company in Mexico, the Compañía de Seguros Marítimos de Nueva España, was established in Veracruz in 1789. AMIS was founded in 1940 as the Association of Damage Insurance Companies and expanded to include life insurance in 1946. The organization currently has 85 member companies, representing 99% of premiums in the industry.