Global insurance and insurtech companies raised about $1.88 billion from eight IPOs in the first quarter of 2021, the highest recorded since the first quarter of 2016, according to an S&P Global Market Intelligence analysis.

In comparison, the sector raised only about $574.1 million from two IPOs in the first quarter of 2020.

Oscar Health Inc.'s $1.42 billion IPO in March was the largest offering in the quarter by size. It also had the highest IPO price at $39 per share.

Alignment Healthcare USA LLC had the second-largest offering with its $390.6 million IPO. Israel-based Wesure Global Tech Ltd.'s $25.7 million IPO was the third-largest offering in the quarter, followed by Reliance Global Group Inc.'s $12.4 million IPO.

Four offerings came from Asia-Pacific in the first quarter. Tian Ruixiang Holdings Ltd.'s $12.3 million IPO in January was the largest offering recorded in the region.

The first quarter of each year is usually slow, but heightened activity due to attractive market conditions this year resulted in the best-performing first quarter in the last 20 years, based on deal numbers and proceeds, according to Ernst & Young's quarterly IPO trends report. The report attributed the continued surge in momentum to ample liquidity and new opportunities propelled by the COVID-19 pandemic, as well as the increased accessibility of investing due to the popularization of retail investing platforms among the general public.

Global IPO deal numbers and proceeds had the best performance in two decades as markets are awash with liquidity, but many extant uncertainties could lead to volatility and affect the IPO markets, Ernst & Young global IPO leader Paul Go said.

"These [uncertainties] include slower-than-expected vaccination programs and new waves of the pandemic that can continue to peg back any real economic recovery; the slow-down and withdrawal of IPO applications due to tightened regulatory process; and risk of capital markets destabilizing from banks scaling back on leverage," Go said.