mTek, a Kenyan-based digital online insurance platform, has secured an investment of USD 1.25m (approx. Ksh.167.8 million) from Verod-Kepple Africa Ventures (VKAV) and Founders Factory Africa (FFA).
The new funding is targeted to support the firm’s rapid growth to increase its presence in the Kenyan and East African insurance market while solidifying its position as a leader in insurtech innovation.
“We are excited to have VKAV and FFA as part of team mTek as we are building Africa’s No. 1 platform as a service for the insurance ecosystem. We are now looking forward to further strengthen our strategic partnerships with underwriters, regulatory bodies, banks, intermediaries, enterprises and other stakeholders in the industry to foster innovation, expand access to insurance, and create value for end-users and the wider insurance ecosystem,” said Bente Krogmann, CEO of mTek.”
mTek, which offers a seamless and convenient avenue to access insurance products through its innovative platform connecting the overall insurance ecosystem is leveraging technology to enhance transparency and efficiency to unlock insurance for everybody and increase insurance penetration in Africa, which has remained stagnant below 3 percent for years, according to Insurance Regulatory Authority (IRA) statistics.
“We are dedicated to leveraging technology such as artificial intelligence and machine learning, along with product innovation to streamline processes, enhance customer experiences, and drive operational efficiency across the insurance value chain as well as expanding our Software as a Service solution for our various partners within the East Africa region” added Bente Krogmann, CEO of mTek.
According to VKAV Partner, Ory Okolloh, “Low insurance penetration in many African countries is not a new problem, many players both mainstream and start-ups have tried to tackle the low penetration rates described above from various angles. However, we believe that mTek is in a strong position to solve the existing challenges through a combination of a superior technology platform and strong partnerships.”
“As Founders Factory Africa, we are excited to partner with mTek. By providing customers with greater choice and partnering with insurers to optimize their distribution, mTek is making insurance increasingly accessible wherever it operates and lowering costs for all parties in the industry,” says Philani Mzila, Investment Manager at Founders Factory Africa.