M-KOPA Kenya, the local subsidiary of the emerging markets fintech M-KOPA, and Turaco Insurance Agency, the insurtech in Africa, have announced a transformative milestone: together, they’ve provided Hospital Cash insurance to over 1 million Kenyans in just one year. This health insurance comes built into M-KOPA smartphones at no extra cost as part of their “More Than a Phone” digital financial services offering, helping Every Day Earners in Kenya build financial security.
Medical emergencies can be devastating for many Kenyan families. More than 5 percent of Kenyan households face catastrophic health expenses every year, and across Africa, 14 million low-income households fall into poverty due to out-of-pocket healthcare costs. While government initiatives like SHA provide essential coverage, private insurance can help protect families from additional health-related expenses.
(TOP: M-KOPA Senior Manager for Tax, Tabitha Njeri Munyagia; M-KOPA GM Martin King’ori’ and M-KOPA Director of Communication and External Affairs Reatile Tekateka).
After successful trials in January 2024, Hospital Cash coverage was rolled out with the M-KOPA X-20 smartphone in June 2024. Every M-KOPA smartphone now includes 12 months of coverage, seamlessly enabled through M-KOPA and Turaco’s connected systems. Customers receive Kshs 1,000 per day when admitted overnight to any Ministry of Health registered hospital, public or private. This safety net gives M-KOPA smartphone customers’ peace of mind during medical emergencies, allowing them to stay focused on their financial goals.
“Our “More Than a Phone” digital financial services offering has been enhanced by our partnership with Turaco,” said Martin Kingori, the GM, M-KOPA Kenya. “By listening to our customers, we understand how unexpected medical expenses can derail their progress. Insurance provides that crucial safety net, keeping them on track toward their goals. This insurance benefit aligns perfectly with our mission to finance progress for ‘Every Day Earners,’ and through partnerships with purpose-driven providers like Turaco, we’ll continue to impact more lives across Kenya.”
The impact of this insurance benefit is best illustrated by customers like Boniface Mutiso: “Insurance was the biggest reason why I picked my phone… I received Kshs 7,000 two days after my claim, straight to my mobile money. This cover helped me cater for my family needs after I was discharged.”
A new impact report from Turaco and M-KOPA reveals the program’s significance for the 1 million customers covered:
- Access Enhancement: About 75% of customers had no health insurance before accessing M-KOPA’s “More than a Phone” offering
- Business Growth: Over half of all customers – including those who haven’t claimed – report increased business investment, citing insurance coverage as their financial safety net
- Financial Confidence: More than 50% of women customers report reduced financial anxiety due to their insurance coverage
- Claims Impact: Over 75% of customers who claimed report the insurance helped ease their daily payment obligations
“At Turaco, we are on a mission to make insurance more accessible and affordable. Our vision is to insure the next billion people, doubling the number of insured people in the world. Our partnership with M-KOPA is a powerful example of the role partnerships can have in driving towards that vision and transforming lives of people who want and need insurance,” said Ted Pantone, Turaco CEO. “This milestone highlights how embedding insurance into everyday products can drive meaningful impact and financial resilience for Kenyans.”
Building on this success, Turaco and M-KOPA are set to expand their offering to additional markets, beginning with Ghana, while maintaining their focus on innovative financial solutions for underserved communities across Africa.
Turaco is an insurance and technology company transforming insurance financing in emerging markets with simple and affordable health and life insurance for low-income earners. Founded in 2018, Turaco is present in Kenya, Uganda, Ghana, and Nigeria. Turaco partners with leading mobile network operators (MNOs), technology companies, and financial institutions to distribute unique insurance products for their customers. With Turaco, individuals can secure insurance coverage with premiums starting as low as $1 per month. Using API integrations with their partners, and AI to drive efficiency, Turaco activates policies, automates payments, and processes claims in a fraction of the time it takes traditional insurance companies. Turaco has insured over 3.5M people to date.
M-KOPA is a UK-headquartered emerging market fintech that provides affordable smartphones and digital financial services. Operating in Nigeria, Ghana, Kenya, South Africa, and Uganda, M-KOPA has extended over $1.5 billion in credit to more than 5 million customers. Using an innovative financing model based on daily repayments, M-KOPA offers affordable smartphones embedded with financial services, including insurance, tailored to the cash flow of underserved individuals. By leveraging rich payment data and proprietary AI-driven analytics, M-KOPA builds a credit record for each customer, forming the foundation for long-term financial relationships offering digital loans, affordable data subscriptions, and insurance.
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