Banking on the low insurance penetration, Sanlam Kenya is hopeful it will increase its market share with Flexi Hela, a flexible savings solution.
The insurer says the product will guarantee policyholders a return and features a life cover for up to 4 dependent children with access to accrued savings within 24 hours at a zero-surrender cost.
Sanlam Kenya Chief Executive Officer Dr Nyamemba Tumbo says Flexi Hela has an open-ended term that allows customers to enjoy the policy’s benefits and continue to save as long as the policy remains active.
The product allows savings contributions to grow at the declared interest rate over time, with withdrawals viable at any time and subject to no penalties.
“Flexi Hela is our response to the developing needs in the market driven by customer-centricity. Through this strategic partnership with mTek, we aim to increase insurance penetration to the customer by allowing them the choice to exit at their will,” added Dr Tumbo.
The insurer has partnered with the digital insurance platform mTek to see consumers save and access their savings through mTeks’ mobile app in real-time.
“With mTek’s digital platform, Flexi Hela customers can make affordable and, most importantly, flexible insurance payments without having to fill in any paperwork, providing them with security and peace of mind at their fingertips. In addition, customers should expect exemplary, personalized customer service with complete transparency. ” Bente Krogmann, mTek chief executive, said.
Techie Bets on Digital Insurance App to Deepen Insurance Penetration
Kenya’s insurance penetration was estimated at 2.3% as of FY’2021, according to the Q4’2021 Insurance Regulatory Authority (IRA) and the Kenya National Bureau of Statistics (KNBS) 2022 Economic Survey.
The low penetration rate, below the global average of 7.4%, is attributable to the fact that insurance uptake is still seen as a luxury and mostly taken when necessary or a regulatory requirement.
