The insurance sector in Brazil is undergoing major transformation. Premium revenue exceeded R$ 663 bn in 2023, and double-digit growth is expected to continue. But the change isn’t just about numbers—it reflects a shift in how insurers approach pricing, according to Akur8.
A more digital and diverse market has created pressure to act fast and offer personalised products.
On-demand coverage, bespoke policies, and higher expectations from digital consumers are now standard. Yet, many insurers still rely on outdated processes and manual tools to maintain pricing models.
Spreadsheets remain a common tool for building models. Research from UFPB and internal market estimates show over 60% of insurers still use spreadsheets or fragmented scripts for modelling (UFPB, 2023). This makes version control, change tracking, and consistent governance difficult.
Transparency and traceability in pricing are essential
Regulator SUSEP emphasises pricing transparency and governance as regulatory priorities. The 2025 agenda requires documented justifications, explainable segmentations, and structured modelling processes. Transparency is now a baseline requirement.
Brazil is aligning with international governance standards. In Europe and North America, insurers increasingly rely on version control, documentation, and explainable logic as part of risk management.
Insurers must now demonstrate how pricing decisions are reached, with clear logic and documentation.
Explainable pricing models are mandatory
As models integrate behavioural, geographic, and third-party data, complexity increases. SUSEP expects insurers to clearly explain each decision, including variables, segments, and assumptions.
In a legacy spreadsheet, rating changes can go unnoticed. In a governance-driven workflow, all changes are recorded, justified, versioned, and auditable, ensuring regulatory clarity and operational security.
Pricing is no longer just an actuarial task. It now links technical modelling with business strategy and compliance, requiring collaboration across teams to refine and improve models.
Governance as the new competitive advantage
Brazil’s insurance sector is projected to reach 6.4% of GDP by 2025, with strong growth in life and property lines (CNseg). This scale demands innovation, agility, and long-term trust.
Revising pricing models goes beyond technical updates; it means embedding governance, traceability, and explainability at the core of decision-making.
Insurers that prioritise transparency will not only keep pace but lead the evolution of credible, high-performing insurance in Brazil.
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