Kenya Commercial Bank (KCB) and National Bank of Kenya (NBK) have signed a distribution deal with Sanlam Life Insurance in a bid to enhance the uptake of life insurance in Kenya.

The distribution partnership will see KCB Bancassurance Intermediary Limited (KBIL) and National Bank Bancassurance Intermediary Limited (NBIL) avail financial and investment products in the two banks’ collective 300 branches spread across the country.

KBIL and NBIL will distribute life insurance products, underwritten by Sanlam and unveil an endowment policy, Nawiri, a savings and investment product offering a guaranteed return over a specific period of time.

The two entities have also launched Elimisha Plus Cover, an improved education policy, as well as Last expense Cover, a funeral insurance product that covers costs linked to funerals.

Nawiri comes with a tax relief element while the bereavement cover come with a tax-free death benefit when a policy holder dies making the two covers options for investment.

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“We are reimagining insurance by leveraging the existing offerings and rethinking the distribution model to ensure we take the products to the uninsured population across the counties and every corner of the country,” said KCB Bank Kenya Managing Director Annastacia Kimtai.

According to the Insurance Regulatory Authority (IRA), the life insurance penetration rate currently stands at 1.3 per cent, and the KCB - NBK deal is seeking to further enhance this.

NBK MD George Odhiambo, Sanlam Kenya Group CEO Dr Nyamemba Tumbo, IRA Head of Consumer Education Anne Chelagat, KCB Bank Kenya MD Annastacia Kimtai and KCB Bancassurance Intermediary Limited (KBIL) Principal Officer Aggrey Mulumbi. PHOTO/KCB

“For customers who prefer to receive services from a one-stop-shop like a bank, this partnership comes in handy for them as they will now be able to access a full suite of financial services to meet their long-term investment needs,” said Sanlam Kenya Group CEO Dr Nyamemba Tumbo.

He added, “We shall therefore leverage our distribution and processing capabilities, stronger brand visibility and a greater degree of public trust to deliver a superior customer and product experience.”

IRA CEO and Commissioner of Insurance noted that since the bancassurance distribution model was unveiled in 2004, it has boosted financial security of many banking customers.


“As the industry regulator, we welcome this move as we see it as an opportunity to meaningfully improve bank customers’ financial security, lives, and businesses given the growing awareness among customers about protection and the need to financially secure themselves through a robust financial plan,” stated Kiptum.

According to a 2017 study by the Association of Kenya Insurers (AKI), up to Sh6 billion of life business was through bancassurance, while that of non-life was estimated at Sh10 billion.