U.S.-based insurance and insurance technology companies raised about $34.31 billion from capital markets in the second half of 2020, according to an analysis by S&P Global Market Intelligence, down from $47.29 billion from the start of the year through June 11, 2020.
Most of the fundraising proceeds came from senior debt offerings, which accounted for $23.46 billion of the total. Preferred equity raises came in at $2.50 billion, and common equity offerings generated about $6.70 billion.
Berkshire Hathaway Finance Corp. was the largest capital issuer during the period, completing senior note offerings of $1.75 billion and $750.0 million in early October 2020. Health insurer Centene Corp. was the second-largest issuer but had the largest offering of $2.20 billion of 3.00% senior notes due Oct. 15, 2030. New York Life Global Funding issued about $2.0 billion of senior debt.
In common equity, insurtech companies Root Inc. and GoHealth Inc. raised $1.15 billion and $913.5 million, respectively, after conducting IPOs in the period. Root also secured additional capital from investors.
MetLife Inc. was the biggest issuer of preferred equity for the period following a $1.0 billion offering in September 2020.