mTek, Kenya’s Insurtech Startup Closes $3 Million Investment

mTek, a Kenyan insurtech and digital insurance platform, has received an additional financial commitment from Finclusion Group, an African-focused fintech platform, totaling $3 million (KSh 340 million) in debt and equity.

The increased collaboration aims to speed up mTek’s entry into the Kenyan market by making continuous platform upgrades and expanding its customer base.

Ms. Bente Krogmann, mTek’s Chief Executive Officer, noted that the investment represents a watershed moment for the company and a sign of Pan-African investors’ faith in the insurtech’s mission, business strategy, and philosophy.

“With this investment, we will be able to start our expansion in Kenya by opening 25 Finclusion Group branches where we will train agents,” says the company. The money will go toward developing fully digital, market-ready insurance products that are both accessible and cheap to the uninsured. “Over the next two years, we want to be able to grow into six African countries,” Ms. Krogmann added.

Finclusion Group is an African fintech platform that is developing a full neobank service for its customers. Finclusion Group has a presence in South Africa, Eswatini and Namibia in Southern Africa, and Kenya and Tanzania in East Africa, and offers earned-wage access, BNPL, and a direct credit offering, among other services.

Mr. Timothy Nuy, Chief Executive Officer of Finclusion Group, stated that mTek’s ability to offer paperless insurance addressed a significant industry pain-point, and that the fintech platform’s vision and expansion model are well aligned with mTek’s continued growth and customer value-adding.

“As a Group, we are dedicated to fostering financial inclusion on the African continent through new technology and large investments that can create long-term change, identifying and addressing current and future market demands.” Mr. Nuy stated, “mTek’s platform has enabled increased transparency in both the insurance and telehealth industries, and we are thrilled to work with such technology that enables – for the first time in Africa – paperless insurance.”

“Because Kenya’s health-financing reforms have piqued the interest of both public and private-sector stakeholders, we’re taking a long-term strategy to this investment.” The mTek-invented ‘one-stop shop,’ a holistic plug-and-play insurance tech offering, is replicable across the continent. “We’re excited to take the lead in that process,” Nuy added.

mTek has seen sustained and impressive growth since launching its platform in 2020, tripling its customer base and gross written premium every quarter to date through its breakthrough 100 percent paperless insurance. In addition, the insurtech has worked with over 35 Kenyan underwriters to continually provide a better and more transparent experience for its clients while obtaining and renewing insurance policies.

mTek expects to reach one (1) million users through its innovative insurance offering by 2024 as it achieves its mission to provide insurance to the uninsured.