Mr Viral
“Insurance is both a safety net and a financial enabler,” said Samuel Odhiambo, Mananging Director NCBA Bancassurance Intermediary Ltd, speaking during the episode of Financial Clinic, hosted by Sally Limo on Family TV. “Insurance goes beyond being a product—it’s a critical cushion against life’s uncertainties, helping individuals and businesses manage financial shocks from risks like illness, accidents, or disasters.”
Odhiambo emphasized that without insurance, families and businesses often face dire financial consequences when unexpected events occur. Insurance transfers risk to an insurer for a fraction of the cost, making it a vital tool for economic stability.
Overall, the session reinforced insurance as essential for both personal and business resilience, and highlighted NCBA’s role in simplifying access to various insurance solutions. Though NCBA recently has its own insurance subsidiary NCBA Insurance Group, NCBA Bancassurance is an insurance intermediary that sells covers on behalf of insurance companies.
“As an intermediary we are not really the risk carrier but we are selling on behalf of insurance companies,” said Odhiambo. “We pretty much deal with a very wide panel of insurers and we have up to 15 insurance companies in our panel now which we carefully select because looking at our customer, I want to make sure that we are only taking you to reputable insurance companies that can pay your claims.”
NCBA Bancassurance deals with 15 insurance companies and within that there’s a very wide spectrum of insurance solutions under three categories. Life Insurance, Medical Insurance and Asset Insurance. In life insurance, there’s also a number of products that are available such as an education policy developed around the needs of parents in its markets.
“Statistics are showing us that a huge number of emergency loans up to 40% of emergency loans are being taken to pay school fees and and medical expenses and 40% is a big number by any standard. Therefore we came up with an education policy unlike traditional intermediaries that would just go to an insurance company and pick a product from the shelf and distribute it to customers what we did was the other way around,” said Odhiambo. “We did it bottom up, we pretty much went to the bottom and built that product up with our customers it’s a product that really resonates with our customers. It’s custom built for our customers.”
One of its best policies is the education policy. In October 2024, NCBA Bancassurance partnered with Sanlam Insurance to launch Go Educator education policy to help its customers to save towards education tuition fees for their children. The firm has customized plans depending on one’s need from say, 5 years, 10 years or 7 years.
Apart from education, homes and business owners make up a much bigger percentage of employers in this country, up to 80% of the employed people are coming from MMEs not the big corporates. MMEs are also driving a huge percentage of our economy, therefore Odhiambo says NCBA Bancassurance has solutions for SMMES and business owners to avoid any form of risk.
“You can be running a logistics company, you have trailers moving from point A to B and therefore apart from getting a motor insurance for your commercial unit we also have goods-in-transit cover which means you get to cover whatever it is you’re transporting from point A to B,” he said adding that its withing the asset class cover and could either cover the vehicle or houses, whether it’s a home, a commercial building or the business itself. NCBA Bancassurance covers fire, theft, fidelity cover from your own employees.
Health is a big need today it’s need driven and incidentally, health insurance is the biggest contributor of premiums in this country as one doesn’t get to choose one way or the other when they would fall sick or need to go to. Within health, there are various covers for an individual, a family, a company or even a small MME.
Health Insurance: A Necessity for All
Health insurance remains one of the most vital types of coverage in Kenya, where medical costs are rising sharply. NCBA’s medical insurance offerings cater to a wide range of customers, from individuals and families to SMEs and corporate clients. The health insurance plans are designed to meet both inpatient and outpatient needs.
NCBA’s approach is personalized, with relationship managers helping clients curate their ideal covers based on medical history, pre-existing conditions, and budget. Medical insurance is also available for companies, enabling employers to provide health benefits to their employees. This is an especially important benefit for SMEs, which often face difficulty in securing affordable and comprehensive medical coverage for their teams.
For those unable to pay premiums upfront, NCBA offers Insurance Premium Financing (IPF), allowing clients to spread their payments over time, making coverage more accessible.
One of the standout features of NCBA’s health insurance is its focus on preventive care. The bank rewards customers for adopting healthy habits, such as regular gym visits and wellness checks, by offering discounts on premiums. This initiative not only encourages healthier lifestyles but also helps reduce the long-term cost of medical care.
Asset Covers Protect What Matters Most
Asset insurance is another vital offering from NCBA Bancassurance, particularly for homeowners, business owners, and vehicle owners. NCBA provides extensive coverage options for homes, commercial buildings, and motor vehicles. For businesses, the bank offers coverage against fire, theft, and even the risk of employee dishonesty through fidelity cover.
For vehicle owners, NCBA provides comprehensive motor insurance that covers not only the vehicle but also damages caused to third-party property, including other vehicles. One customer shared their experience of having their cracked windscreen covered through their motor cover, underscoring the ease and peace of mind that comes with having the right coverage. Claims are processed swiftly, and customers can access multiple payment options, making the process as hassle-free as possible.
Additionally, businesses involved in logistics can benefit from goods-in-transit cover, ensuring that goods being transported are protected from risks such as theft, damage, or accidents during transit. This is a valuable product for business owners who rely on transportation for their daily operations.
The Role of Innovation
According to KPMG, at 3%, Kenya has the third lowest insurance penetration rate in Sub-Saharan Africa with South Africa leading at 17%. This is due to most of Kenya’s population perceiving insurance as a “nice-to-have/easy to discard” product rather than one that is essential. There are 58 insurers and reinsurers in Kenya and general insurance dominates the industry, accounting for 60% of industry gross written premiums.
NCBA, being at the forefront of digital innovation has successfully digitized its insurance products, allowing customers in today’s fast-paced, tech-driven world, to purchase and manage their policies with just a few clicks. Customers can now get up to five quotes for motor covers, choose the coverage that best suits them, and complete payment through NCBA’s mobile banking application or website. Once payment is made, customers receive their insurance stickers digitally, reducing the need for physical documentation and making the process more efficient.
“If you compare insurance companies where their branches are and where NCBA branches are then you realize we are going much deeper even into the into the rural areas to make sure that financial products are accessible,” he added adding that branches aside anyone can access insurance within a few clicks on their mobile phone or from their account.
Insurance is also embedded into other banking products. For instance, if a customer takes out a loan with NCBA, the bank will offer loan protection insurance as part of the package, ensuring that the borrower and their family are financially protected should anything happen. This integration of banking and insurance has made NCBA’s products more accessible and convenient for customers.
Branch Accessibility
With over 100 branches across Kenya, NCBA Bank Assurance ensures that insurance solutions are available to a broad spectrum of customers, even in rural areas where insurance is often hard to access. This wide network of branches, combined with the bank’s digital services, ensures that even the most underserved communities can benefit from comprehensive insurance coverage.
As a result, NCBA is driving financial inclusion by making insurance more accessible and affordable. The bank has leveraged its extensive branch network to offer insurance consultations at each location, ensuring that customers can speak with a dedicated insurance relationship manager who can help them understand their options and select the coverage that best fits their needs.
Making Insurance Affordable
A major barrier to insurance adoption in Kenya is the perception that it is too expensive. However, NCBA has worked hard to debunk this myth by offering affordable premiums and flexible payment options. Insurance premium financing allows customers to pay smaller amounts over time, making it easier to access the protection they need without financial strain. Moreover, the bank’s digitized approach to insurance reduces operational costs, which in turn lowers premiums for customers.
In 2022, Kenyans spent approximately $5 billion on medical care, with around 22.8% of the population spending out-of-pocket due to a lack of insurance coverage. This highlights the importance of shifting towards more affordable and accessible insurance solutions, like those offered by NCBA. By offering affordable premiums and flexible financing options, NCBA is empowering Kenyans to take control of their financial future without the fear of mounting medical bills or asset loss.
A Vision for the Future: Comprehensive Financial Security for All
At its core, NCBA Bancassurance aims to provide financial security to every Kenyan, regardless of their income level, occupation, or location. The bank’s focus on preventive care, innovation, and accessibility ensures that its customers are not just protected when the unexpected happens but are also empowered to live healthier, more financially secure lives.
From the comprehensive motor insurance products to life-saving health and asset protection plans, NCBA Bank Assurance is setting the standard for what modern insurance should be—affordable, accessible, and tailored to the needs of every individual.
“Insurance it’s about planning, set a goal and make sure that you arrive at your goal. By having a good insurance partner. There’s a lot that can be said about insurance. There are too many misconceptions about insurance people think it’s expensive we have shown you it is cheap it’s a fraction of the of the cost you’d pay from your pocket and we’ve also said you can get a premium financing to take care of you know the upfront cost for insurance,” concluded Odhiambo.
