Sanlam Partners Fintech Firm for Affordable Insurance Products

 Ebere Nwoji

Insurance giant Sanlam is partnering microinsurance fintech firm aYo Holdings  to deepen insurance penetration in Nigeria, using technology to make financial services more readily available across the country.

Both firms said through the partnership they would offer to  Nigerians affordable life and hospitalisation insurance coverage.

Sanlam is Africa’s underwriter, while aYo Holdings is the continent’s emerging microinsurance fintech.

While aYo acts as a technology service provider to distribute Sanlam products to Nigeria, it will equally coordinate technical integration for the underwriter of microinsurance products and provide platform services to enable mobile money and third-party payment offerings.

This, they said would enable Sanlam to offer easy-to-understand, convenient and affordable products that challenge traditional insurance offerings in the Nigerian market.

Speaking at the launch of the initiative in Lagos, the Chief Executive Officer, aYo Nigeria, Kayode Odetola, said the firm is determined to drive greater financial inclusion by using technology to make financial services more readily available across the country.

Odetola said the low insurance penetration rate in Nigeria, less than one per cent of the Gross Domestic Product, is one of the lowest in Africa.

He said that most people think insurance is a luxury product,  but  that through the partnership, the two firms wanted  to show that people with all levels of income could get peace of mind at an affordable cost, to help take care of their financial health in the face of unexpected events.”

Also speaking at the event, the Chief Executive Officer, Sanlam Life Insurance Nigeria Limited, Tunde Mimiko, said, the partnership reflected  Sanlam’s commitment to deepening insurance penetration in Nigeria by providing accessible life insurance products to more people. “At Sanlam Nigeria, we aim to form partnerships with organisations who understand the local market and share our values and culture. We’re constantly seeking innovative ways to bring all Nigerians affordable and fit-for-purpose insurance. With a trusted partner like aYo on board, the possibilities are as endless as they are exciting,” Mimiko pointed out.