Kenya Re goes global with new life insurance unit

Kenya Reinsurance Corporation (Kenya Re) is targeting Sh10 billion in premiums from its life business locally as the listed firm launched a similar unit for its international market.

The reinsurer said on Wednesday it is already courting the South American market after receiving its first portfolio.

Group Managing Director Hillary Wachinga said the new unit would target Kenyan insurance firms with operations outside the country.

He said the plan is to expand across the continent before venturing into Asia and Latin America.

“Some of you are in countries we are physically set up like Uganda, Zambia, Malawi and Mozambique. We are requesting you to give us business,” said Dr Wachinga.

The MD said Kenya Re has witnessed growth in the life business unit domestically from premiums of Sh2 billion in 2022 to sh3 billion at the end of 2024.

He attributed this to the trust clients have placed in the firm and the dedication of underwriters.

“By diversifying our product offering geographically. Also by line of business, we minimise exposure to any single market or factor,” said Dr Wachinga.

He said while life portfolio in other markets is growing, Kenya is catching up. He referenced India where penetration of life insurance is higher than non-life.

“If we were to look at the distribution, we are 50-50. It means we should be able to scale up from Sh3 billion to almost Sh10 billion in the local market,” he said.

Manager Life Business Department Paul Ahomo said data has played a critical role in informing the decision to expand business to the international market.

He said in the digital age, the proliferation of data and connection to data devices is reshaping the industry. 

“Customers nowadays are willing to share their personal data to both insurance and reinsurance companies so that they can be able to develop products to suit their unique needs and wants,” he said.

General Manager Reinsurance Operations Alice Mbutu said the firm continues to be guided by the inert desire for innovation in the everchanging global reinsurance landscape.

“We have done well in the local market and we are confident that it is time to deliver value beyond our borders,” she said.