Global tech firm joins race for EA embedded insurance sector

Shehryar Ali, Senior Vice President and Country Manager for East Africa and Indian Ocean Islands and Mastercard. [Edward Kiplimo,Standard]

Mastercard has announced a collaboration with insurtech company, Hillcroft (mTek) to launch embedded insurance solutions across East Africa.

The collaboration will integrate tailored insurance products directly into Mastercard’s consumer and Small and Medium-sized Enterprises card offerings, aimed at enabling millions of people and businesses to access affordable and convenient coverage through the payments ecosystem they already use every day.

This initiative marks Mastercard’s entry into the embedded insurance space in East Africa, reinforcing its commitment to advancing financial inclusion and digital innovation in the region.

By embedding insurance coverage into routine transactions, the collaboration aims to eliminate traditional barriers such as high upfront costs, complex application processes, and limited distribution networks, factors that have historically kept insurance penetration in the region below three per cent.

 “This collaboration reflects Mastercard’s commitment to unlocking financial inclusion. By bringing insurance directly into the payment experience, we are removing friction and making protective cover accessible to millions of people and businesses,“ said Senior Vice President and Country Manager for East Africa and Indian Ocean Islands at Mastercard Shehryar Ali.

„From consumers buying daily goods to farmers selling their harvest, this initiative is about building resilience and supporting economic growth across East Africa.”

SMEs account for more than 90 per cent of businesses in East Africa and play a significant role in gross domestic product and job creation, yet they face persistent challenges in accessing affordable insurance.

By offering coverage at the point of transaction, Mastercard and Hillcroft (mTek) are meeting businesses where they are, leveraging Mastercard’s trusted payment infrastructure and Hillcroft’s Insurtech expertise to close this gap.

“Collaborating with Mastercard allows us to scale our technology and connect with millions of consumers and SMEs through trusted payment channels. Together, we aim to deliver solutions that are simple, affordable and life-changing for underserved communities,” said Hillcroft (mTek) Chief Executive Bente Krogmann.

The collaboration also creates a wider ecosystem by bringing together financial institutions, insurance companies and major telecommunications providers across Africa.

The two firms aim to deliver comprehensive digital and virtual card solutions that bundle payments with insurance, expanding access across the region.

Hillcroft (mTek) will provide direct API integration with underwriters, technical platform support and co-develop innovative products with insurers.