Specialist development finance agency FSD Africa and East Africa’s largest and composite insurer Jubilee Group have entered a Memorandum of Understanding (MoU), marking FSD Africa’s first partnership with an insurer, aimed at advancing financial inclusion by expanding access to insurance and investment solutions, with a particular focus on undeserved segments including Small and Medium Enterprises (SMEs).
This partnership will initially be implemented in Kenya as a strategic launch market before being scaled across Jubilee’s wider regional footprint. It forms part of the company’s broader growth agenda to double its customer base by deepening penetration across its integrated financial services offering and strengthening its role in delivering accessible and inclusive solutions across East Africa.
Under the MoU, Jubilee will work with BimaLab, FSD Africa’s flagship insurtech accelerator, to co-create and pilot inclusive, tech-driven solutions to reach millions of underserved and low-income Kenyans, opening a new customer segment for the Jubilee Group.
The partnership will operate through the BimaLab’s Insurtech-Insurer Partnership Framework, which pairs high-impact BimaLab alumni insurtechs with an established insurer to build, test, and launch joint tech enabled products in real markets.
The initiative will be rolled out through J-Hub, the Group’s innovation and technology arm, which accelerates development, testing and deployment of digital and AI-powered solutions across the business. By leveraging J-Hub’s innovation capabilities alongside FSD Africa’s expertise in inclusive finance, the partnership will fast-track the design and scaling of customer-centric solutions that address the evolving needs of underserved communities.
Speaking during the MOU signing, Jubilee Group Deputy CEO, Juan Cazcarra emphasised the need to expand insurance penetration and coverage across the region to ensure that the large segments of the population currently excluded for a variety of barriers are brought into insurance protection.
“Driving access is a key priority for our business. Too many people in East Africa remain outside the protection of insurance and financial security due to barriers we must continue to address. This partnership allows us to begin closing that gap by reaching segments that have previously been excluded. We will continue to pursue and scale innovative solutions that make it possible for more people across the region to participate in lasting financial security, better health outcomes and long-term well-being.” said Juan.
FSD Africa’s Chief Adaptation & Resilience and Strategy Integration Officer, Kelvin Massingham, said the partnership strongly aligns with BimaLab’s vision.
“A large majority of Africans face rising climate, health and economic risks with no insurance to fall back on. This is why closing Africa’s protection gap is one of the most urgent resilience challenges of our time. We built BimaLab to back the innovators solving it and when their solutions reach scale through partners like Jubilee, that is resilience made real for millions,” Massingham said.
Through a competitive process, Bimalab Insurtechs will work with Jubilee Group to co-design solutions for three priority areas: embedded and bundled distribution, SME ecosystems, and health, wellness & engagement. The shortlisted BimaLab insurtechs are expected to be named in August this year.
Kenya has achieved world-leading financial inclusion, with 85% of adults using a formal financial service, yet insurance remains the sector’s deepest gap. Insurance penetration in 2025 was only 2.4% of GDP against a global average of 7%. Health shocks, in the form of out-of-pocket medical costs, are estimated to push 1.5 million Kenyans below the poverty line each year. The country’s SMEs, estimated at 7.5 million and employing 15 million people, are highly vulnerable to economic shocks, as witnessed during the COVID pandemic, where roughly a third shut down.