This archive report was first published on 9 July 2020.
As the COVID-19 pandemic continues to affect economies worldwide, Minet Kenya has introduced an innovative solution to help motor vehicle owners and taxi operators manage their finances.
Traditionally, insurance premiums are paid upfront, which can be a significant burden for individuals and businesses. This can lead to financial strain, forcing policyholders to forego pressing needs or stall business operations.
Minet Kenya's insurance premium financing service offers a much-needed relief to policyholders. The service allows payment of premiums in installments, making comprehensive insurance more affordable for motor vehicle owners.
Under this arrangement, Minet Kenya enters into an agreement with the underwriter and the insured, paying up to 80% of the insurance premium upfront. The policyholder then deposits only 20% of the premium value to activate the cover and receive an insurance certificate within hours.
Minet Kenya has partnered with Momentum Credit Limited to provide the financing for this service. The premium financing resonates well with private car owners and taxi operators, including tuk-tuk and bodaboda operators.
According to Minet Kenya Chief Executive Officer Sammy Muthui, the service is designed to support clients facing financial challenges due to the pandemic. 'We have been thinking about our clients and the challenges they are facing as a result of the Coronavirus disease (Covid-19) pandemic,' Muthui said.
