• mTek CEO Bente Krogmann said many Kenyans are forced to spend their income on unexpected healthcare needs
• Majority of Kenyan households have shied away from taking up healthcare and other general insurances owing to the prohibitive high one-off cost.
Kenyans can now access healthcare insurance starting from Sh1,000 monthly.
This follows a partnership between two companies that has secured a Sh170 million funding, which grants Kenyans access to health coverage and other general insurance products.
The collaboration between mTek, a digital insurance platform and Finclusion’s TrustGro, a microfinance company, will provide easy access to quality healthcare through a health insurance solution that matches individual financial capability.
The initiative provides a flexible monthly premium payment plan that can be chosen from 30+ Kenyan underwriters, for as low as Sh1,000.
During the signing of the partnership last week, mTek CEO Bente Krogmann said many Kenyans are forced to spend their income on unexpected healthcare needs.
“We need to put a stop to the fact that most Kenyans foot their medical bills with cash. This is costly and creates cash-flow uncertainty. The solution will allow Kenyans to spare a foreseeable amount every month for their medical and also other insurance needs without carrying the burden of the premium payment all at once while still being protected from day one,” Krogmann said.
By collaborating to provide Kenyans with affordable insurance premium financing, TrustGro CEO Tonderai Mutesva said everyone should be able to afford basic health insurance or any other type of insurance to protect their assets and for a sense of security.
“This is in keeping with our mission as TrustGro, which is to help enhance the quality of life of our customers through simple, convenient and appropriate financial services” Mutesva said.
Majority of Kenyan households have generally shied away from taking up healthcare and other general insurances owing to the prohibitive high one-off cost.
Health data shows NHIF, the main health insurer in Kenya, covers 16 per cent of Kenyans, whereas the 32 private health insurers collectively cover a mere one per cent of the Kenyan population.
Among the cited reasons for low insurance coverage are low incomes, complicated and frustrating processes to sign up and unclear pricing.
mTek CEO said it wants to demonstrate this can be done differently, by providing a transparent and easy to use digital solution through their phones.
“By cooperating with more than 30 underwriter and covering the whole general insurance scope mTek provides a comprehensive offering which is unmatched by other insuretech player within the Kenyan market,” Krogmann said.
TrustGro, which is a part of the Finclusion group, is a non-deposit taking microfinance company present in 26 counties.
It provides government payroll loans, private company payroll loans, vehicle logbook loans, salary advance loans.