NAIROBI, Kenya, June 18 – Insurance industry leaders have urged insurers to make digital transformation focused on addressing customer needs, improving claims processing and lowering operational costs.
Leaders say a more targeted approach to technology adoption will be critical in raising insurance penetration and improving customer retention across the sector.
Speaking during the 5th Edition of the InsurTech Forum Nairobi (ITFN) 2026, industry executives said technology adoption should move beyond pilot projects and be tied to measurable business outcomes.
These include faster claims settlement, reduced fraud and improved customer retention.
According to Deloitte East Africa Partner Timothy Wachira, many insurers are investing in digital transformation without first identifying where value is being lost within their operations.
“The future of insurance will be for companies that balance innovation with execution and strategy with measurable results. It will not be shaped in isolation but with collaboration and disciplined execution.”
“There are more people being included within the insurance circles but that is not being translated into people using insurance.”
Wachira noted that affordability concerns, low trust in insurers, limited insurance awareness and products that fail to address customer needs continue to constrain uptake.
He added that manual processes are also creating inefficiencies in administration, claims handling and financial reporting.
He argued that insurers should use digital tools across the entire value chain from customer acquisition and claims processing to customer retention to improve operational efficiency and enhance service delivery.
Forum convener Ayisi Makatiani said the industry must accelerate technology adoption to lower operating costs and make insurance more accessible.
“This forum is extremely important at this stage, because the technology is moving at a fast pace that if we don’t keep up with it, we will end up suffering as an industry, and also we may end up suffering as a region.”
“Technology is enabling for people who never get insurance or companies that could never have offered insurance now offered at a much cheaper price.”
Makatiani said technology can help insurers improve customer retention through more consistent service while also expanding distribution channels, including embedded insurance offered at points of sale.
Meanwhile, ICEA LION Group CEO Philip Lopokoiyit said technology remains central to improving customer experience and driving industry growth.
“Technology and transformation are absolutely important elements for us to improve our customer service and to drive the business going forward.”
“We have to meet the customers where they are and to have embedded insurance going forward.”
Lopokoiyit said increasing insurance penetration will require more inclusive and affordable products supported by digital ecosystems that enable insurers to reach underserved segments of the population.
Kenya’s insurance penetration remains among the lowest in Africa despite steady growth in premiums and industry assets.
Latest industry data shows insurance penetration measured as gross premiums as a percentage of GDP stood at about 2.4 percent in 2024 and 2025, far below the global average of more than 7 percent.
