Hispanic Heritage Month is Sept. 15 to Oct. 15. This month is dedicated to the rich traditions, history, and contributions of the Hispanic and Latino communities that have shaped not only our nation but the world.

Latino and Hispanic are often used interchangeably. Typically, Latino refers to people who have ancestry from Latin America and not necessarily a Spanish speaking country. Hispanic is a narrower term that refers to people who from Spanish-speaking Latin America, including the Caribbean or Spain. Hispanic is also used in the by the U.S. government as an umbrella term to encompass both Hispanic and Latine populations.

The Hispanic community has a profound and growing impact on the business landscape, particularly in entrepreneurship, and has long been a beacon of resilience, creativity and determination, contributing to the social and economic fabric of the country.

Further, Hispanic influence continues to expand in the world of business, entrepreneurship and insurance, playing a key role in shaping the future of these sectors while addressing the unique challenges and opportunities facing their communities.

The Rise of Hispanic Entrepreneurs

Hispanics are one of the fastest-growing groups of entrepreneurs in the U.S., with more than 5 million businesses contributing over $800 billion annually to the economy, according to the U.S. Department of the Treasury. These businesses span a wide range of industries, from retail and construction to tech and finance, creating jobs and driving economic growth.

Between 2007 and 2019, the number of Latino-owned businesses grew by a staggering 34%, according to the “State of Latino Entrepreneurship" report from the Stanford Latino Entrepreneurship Initiative (SLEI).

Yet, many Hispanic entrepreneurs face challenges that include language barriers and limited access to capital. For example, in 2022, Latino-owned businesses were 50% more likely to seek financing than white-owned businesses. Still, they were substantially less likely to have larger loans approved despite, on average, having three times the gross revenue of white-owned businesses, as well as less debt and similar credit scores, according to SLEI's report.

Cultural Competency: Bridging Gaps in Insurance

Despite challenges, the insurance industry is uniquely positioned to support this remarkable growth. As Hispanic entrepreneurs scale their businesses, they require insurance solutions tailored to their specific needs. These business owners need trusted advisors who understand the unique dynamics of their industries.

This is where culturally competent insurance professionals play a vital role: bridging the gap between traditional services and the specific needs of Hispanic business owners.

As the Hispanic community grows, so does the demand for culturally competent services, particularly in industries like insurance. For many Hispanic clients, purchasing insurance can be a complex and overwhelming process, often complicated by language barriers or a lack of familiarity with U.S. insurance systems. This is where Hispanic insurance professionals make a meaningful difference. By offering bilingual services and providing culturally relevant advice, these professionals help demystify insurance for their clients, building trust and ensuring that more families and businesses are protected.

However, cultural competency goes beyond language. It also encompasses an understanding of the community's specific needs and values. Many Hispanic-owned businesses operate in sectors— such as construction, landscaping, and food services—industries that face heightened risks and require specialized insurance products.

Hispanic insurance agents, many of whom come from similar backgrounds, understand the intricacies of these industries and are better positioned to offer tailored advice. They don't just sell policies—they provide education on risk management, helping business owners avoid common pitfalls, navigate complex regulations, and secure the protection they need to grow confidently.

Hispanic Leadership in the Insurance Industry

Beyond entrepreneurship, Hispanic professionals are making significant strides in leadership positions within the insurance industry. As more Hispanics take on influential roles in major insurance companies and agencies, they bring fresh perspectives on diversity, equity and inclusion (DE&I), which are critical for serving the growing Hispanic market.

These leaders are instrumental in shaping policies and developing initiatives that serve underrepresented communities. Many are launching mentorship programs aimed at helping younger generations of Hispanic professionals enter and thrive in the insurance sector.

One of the most exciting developments is the rise of Hispanic-led InsurTech companies, which are using technology to revolutionize the insurance landscape. These startups are making insurance more accessible and transparent for a broader range of clients, particularly those who have historically been underserved by traditional providers. By leveraging digital platforms and mobile technology, these companies are not only improving access to insurance products but also streamlining the customer experience—creating solutions that are fast, easy and affordable.

The Impact of Financial Literacy and Education

In addition to insurance, many Hispanic leaders are focused on increasing financial literacy within their communities, recognizing that understanding personal finance, savings and investment is key to long-term economic security.

By teaching families about the importance of saving, investing and planning for the future, they empower individuals to take control of their financial well-being. This is critical for building long-term wealth and stability, especially in communities that have historically lacked access to financial education and resources.

Financial literacy initiatives are essential for helping Hispanic families protect their assets, plan for retirement, and pass wealth down to future generations. These efforts not only strengthen individual households but also contribute to the broader economic health of Hispanic communities, enabling greater participation in the financial system.

Looking to the Future: Growth and Inclusion

By 2060, more than 1 in 4 Americans are likely to be Latino, according to the U.S. Census Bureau. As the Hispanic community continues to grow, its influence on the insurance industry and the broader business landscape will only deepen.

Insurance companies that want to stay competitive in the future must recognize the power of the Hispanic market and the importance of cultural competency in serving it. This means hiring more Hispanic professionals, developing tailored products and services, and committing to inclusive practices that reflect the diversity of their client base.

Hispanic Heritage Month is an opportunity to reflect on the incredible contributions of the Hispanic community and to celebrate its ongoing influence in shaping the future of industries like insurance. As we look ahead, it's clear that the Hispanic community will continue to be a driving force in business, entrepreneurship and financial services.

Monica Adwani is CEO of Breezy Seguros.