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Scholars have long noted the regressive character of social policy across Latin America, but recent studies focusing on policy developments of Left governments have found effective poverty and inequality reduction strategies in varied political and economic contexts. This paper presents new data on Latin American social policy regimes and assesses the impact of political competition and changing class dynamics on welfare developments across the region. Using a configurational approach and employing fuzzy-set QCA analysis, this paper investigates how favorable political and economic contexts combine to produce comprehensive and generous social policy regimes. Income levels and sustained economic growth combined with competitive Left parties and a substantial middle class favor the development of generous social policy regimes. In addition to these conditions, a strong Left position in the legislature or a legacy of generous social policies are needed to produce more inclusive welfare regimes. Cases that fail to implement progressive social assistance policies share one key characteristic: lack of competition for low-income voters among parties on the Left.