Background
Millions of travelers and transportation providers in Kenya still struggle to get reasonably priced and trustworthy insurance. The informal transportation industry is frequently left out of traditional insurance models because of distribution difficulties, lack of awareness, and expense.
By collaborating with top insurers like Takaful Insurance and transportation companies, SafiriSure saw a chance to close this gap and guarantee that drivers and passengers could easily obtain per-trip personal accident insurance via the current fare collection systems.
The Partnership Model
Integrating insurance straight into the fare payment process was a straightforward yet powerful concept that served as the foundation for the solution.
The USSD payment platform, made available by SafiriSure, enabled travelers to pay for their tickets and choose whether to purchase per-trip insurance.
The plans were underwritten by Takaful Insurance, guaranteeing extensive coverage at a reasonable price.
By installing the SafiriSure technology on their buses and matatus, transport operators made integration easier.
Key Outcomes
- Greater Insurance Penetration: More than 500,000 travelers chose per-trip insurance in less than six months, greatly increasing coverage in underserved areas.
- Increased Customer Trust: Knowing they were safe on every journey gave passengers more peace of mind. As a result, operators saw an increase in daily ridership and consumer loyalty.
- Growth in Revenue for Partners:Commissions were paid to operators for each insured trip.Platform usage on SafiriSure increased by 30%.Takaful Insurance broadened their customer base to include previously unreachable groups.
- Streamlined Claims Procedure: By using digital fare records and passenger manifests, claims processing was 50% quicker, which increased customer satisfaction.
Challenges & Solutions
Teaching travelers about the advantages of per-trip insurance is a challenge.
On-board awareness initiatives and cooperative marketing efforts with operators are the answer.
The challenge is making sure that various fare collection techniques integrate seamlessly.
Solution:
To provide accessibility for all users, SafiriSure's USSD platform was tailored for both smart and feature phones.
The Greater Impact:
This alliance demonstrated how cross-sector cooperation may promote financial inclusion and social impact in addition to expanding access to insurance.
SafiriSure and its partners are giving millions of people protection they didn't previously have by integrating insurance into routine tasks like commuting.
What Comes Next?
SafiriSure intends to develop this paradigm further into:
- school transportation that provides students with per-trip coverage,logistics fleets, offering real-time safety for both drivers and cargo.
- Additional micro-insurance products, such as medical and life cover, through existing partnerships.
This is the power of collaboration: integrating insurance into daily life and making it affordable and accessible.