First Assurance launches mental health insurance product for MSMEs

Business
By Sofia Ali | Aug 16, 2024
First Assurance Chief Operations Officer Johannes Kitaka speaking during the launch of a new medical product First Afya Biashara, in Nairobi on August 14, 2024. [Kanyiri Wahito Standard]

First Assurance Company, a member of the Absa Group, has unveiled an insurance product aimed at addressing the growing mental health crisis.

The new product, dubbed First Afya Biashara, targets micro, small, and medium-sized enterprises (MSMEs) in a bid to provide much-needed mental health coverage and support among other health issues.

The launch comes at a crucial time when access to quality insurance for mental health conditions remains a persistent challenge.

Many insurance policies still do not cover pre-existing mental health conditions, leaving a substantial portion of the population vulnerable.

Private insurance schemes often exclude coverage for neurodevelopmental disorders and explicitly deny claims related to suicide or attempted suicide, further complicating access to care for those in need.

First Assurance managing director Stephen Lokonyo emphasised the importance of this new product during the launch event.

"Today marks a significant step towards addressing the gaps in mental health coverage," he said.

"We are calling on all MSMEs to join the First Afya Biashara scheme. This initiative is designed to support both the mental and physical well-being of employees, which is essential for the overall health of businesses and communities."

Hilary Mwangi, Head of Medical Operations at First Assurance, highlighted the timeliness of the new product.

"The high cost of living, increasing poverty rates, substance abuse among the youth, political tensions, terrorism, and poor maternal-child health are all contributing to the rise in mental health issues," he said.

"These factors underscore the urgent need for comprehensive mental health coverage, which the First Afya Biashara aims to address."

The First Afya Biashara plan is designed to offer a broader range of mental health services compared to traditional insurance schemes.

It includes coverage for neurodevelopmental disorders, as well as support for conditions such as anxiety, depression, and post-traumatic stress disorder.

This inclusive approach is expected to fill critical gaps in the current insurance landscape and provide a safety net for many Kenyans who have previously been excluded from such benefits.

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