CHILE Trends and Developments Contributed by: Daniel Silva and Pía Parmar, Silva & Parmar Abogados
• appointing a cybersecurity officer. The Short Act on Private Health Insurance Institutions
leaks, and its procurement has become a priority for both public and private entities. The Cybersecurity Framework Act and the reform of the Personal Data Protection Act have reinforced the need for these products, by establishing obligations on security management, incident notification and sanctions for non‑compliance. The cybersecurity mar- ket in Chile grew significantly in 2024 and is projected to record a compound annual growth rate (CAGR) of 10.3% between 2026 and 2035. Parametric insurance The regulation of parametric insurance in 2025 allows the marketing of products that provide auto- matic indemnities upon the occurrence of measurable events, such as earthquakes, droughts or frosts, with- out the need to verify material damage. This modal- ity offers rapid responses, reduced bureaucracy and greater predictability, being particularly useful for vul- nerable sectors such as agriculture, tourism and small and medium‑sized enterprises (SMEs). The regulation establishes technical criteria for the selection of indices, insurable risks and policy condi- tions, as well as guidelines for the establishment of technical reserves. The implementation of paramet- ric insurance represents a qualitative leap in financial resilience and protection against natural disasters in Chile. Resolution of Disputes Between the Insured and the Insurer Dispute resolution mechanisms Arbitration The general rule laid down in Article 543 of the Com- mercial Code provides that any dispute concerning the validity or ineffectiveness of the insurance con- tract, or arising from the interpretation or application of its general or specific conditions, its performance or non‑performance or the admissibility or amount of an indemnity claimed under it, shall be resolved by an arbitrator appointed by agreement between the parties. In the absence of agreement, the arbitrator shall be appointed by the ordinary courts, and in such case shall act in a mixed capacity, as an arbitrator in
This established the Complementary Coverage Scheme (MCC) of Fonasa, allowing the tendering of complementary health insurance for affiliates of the public system, who, upon payment of a flat premium, may access hospital and outpatient services in private clinics and centres. The MCC covers various benefits, including: • hospitalisation; • laboratory tests; • medical imaging; • nuclear medicine; • physiotherapy and occupational therapy; • transfusion medicine and tissue banking; and • studies in pathological anatomy, psychiatry and clinical psychology. The first tender was carried out in June 2025, but was declared void as no insurance company in the market submitted bids. Following this initial process, and after certain concerns and criticisms of the tender specifi- cations were raised by the market, amendments were introduced including the incorporation of additional healthcare providers, the improvement of tariffs and the introduction of an annual cap of circa USD17,300. The second tender process is currently under way, in which insurance companies have until 26 December 2025 to participate by submitting their bids. Emerging Insurance Products in the Chilean Market Cyber-insurance The rise of cyber‑attacks, particularly ransomware, has driven the demand for cyber‑insurance in Chile. In 2024, ransomware accounted for 38% of all cyber‑threats recorded in the region, and Chile was the fourth most affected country in Latin America, with 7% of the attacks. The average cost of a data breach reached USD4.88 million, 9.7% higher than in 2023. Cyber‑insurance provides coverage against cyber‑attacks, data loss and liability for information
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