Kenya-based InsurTech startup, Lami Technologies has partnered with Unchorlight Kenya, a mobility fintech firm to bring financial security for boda boda riders with the aim to provide them with access to suitable and reliable insurance covers.
Unchorlight is a mobility fintech firm that delivers a rent-to-own finance service known as ZARIBEE for boda boda riders in Kenya.
ZARIBEE services aim to empower riders with easier access to motorcycles by supporting them with affordable digital credit.
This will allow riders to acquire their own rides after a period of time.
These services also support riders to form a reliable community in which they grow together.
Through the partnership with Lami, a digital insurance provider, UNK will offer its riders protection with motorcycle insurance and personal accident cover.
These essentials will enable riders to keep striving while achieving their day-to-day goals with minimal disruptions to their livelihoods.
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This partnership is also harnessed towards bridging the insurance gap by providing affordable, efficient and relevant insurance.
It seeks to protect riders and their customers from financial losses in the case of an accident or other incidents.
It will also help increase the safety and reliability of boda boda services for customers.
The boda boda sector continues to promote the transport sector in Kenya, in both rural and urban areas as it is very efficient and remains a source of livelihood for many.
Renji Morita, CEO, Unchorlight Kenya said, “We are committed to growing Kenya’s boda boda sector and working with partners such as Lami Technologies to introduce digital insurance solutions that will not only promote an inclusive society but will also benefit riders and passengers – and the economy. As an emerging startup, we look forward to partnerships that enable us to grow our offerings.
Since we launched ZARIBEE, we have been working tirelessly to improve the working conditions for boda boda riders. Through this digitized insurance process, Lami has eased the entire insurance process by providing instant certificate issuance which serves the needs of our clients and aligns with objectives to transform the lives of boda boda riders across the country.”
Waithera Thinguri, Head of Business Growth, Lami Technologies said, “Boda boda’s are critical to Kenya’s transport system, and with the number of riders growing year by year, it is important to address the insurance gap in this sub-sector. As such, we are proud to have partnered with Unchorlight in leveraging our technology to launch reliable and suitable insurance coverage for boda boda riders, an integral part of Kenya’s economy. With thousands of people using boda boda’s daily, our digital insurance platform integrated into this solution will have a substantial and positive impact on driving inclusive growth for riders in Kenya.”
Since its inception in 2020, Lami has improved insurance distribution by developing relevant technical platforms for insurance distribution. Through Lami’s platforms, UNK can access instant motor and personal accident insurance for its riders and credit life insurance on the motorbikes issued on Rent-to-Own basis. UNK will also be able to access products from multiple underwriters, therefore, increasing its insurance portfolio. With this partnership, riders no longer have to deal with the slow issuance of motorcycle certificates and policy documents. Additionally, this partnership has also led to reduced conflicts with law enforcement agencies as there is increased compliance.
According to Car & General 2022 report, there are 1.2 million boda boda riders in Kenya.
Nine out of ten riders are used for commercial purposes which represent over one million jobs created.
Of this, 75 per cent are youth, six per cent are women who subsequently contribute to 3.4 per cent of the country’s GDP.
