NAIROBI, Kenya, May 13 – Liberty Kenya is targeting elderly citizens and children in institutional care with the launch of two health insurance products aimed at closing long-standing gaps in private medical cover, even as questions persist over affordability and the sustainability of underwriting high-risk segments.
The insurer introduced HeriAfya Seniors and HeriAfya Juniors, both approved by the Insurance Regulatory Authority, as part of a strategy to extend coverage into populations traditionally excluded from private insurance due to higher claims risk and cost pressures.
The launch comes against persistently low insurance penetration in Kenya. Private health insurance covers about 4% of the population, while most insured Kenyans rely on the Social Health Authority.
Overall insurance penetration stood at 2.3% of GDP in 2023, according to the Insurance Regulatory Authority and KNBS, easing further to 2.2% in H1’2025, compared to a global average of 7.4% cited in the Allianz Global Insurance Report 2025.
HeriAfya Seniors targets Kenyans aged 61 to 85, a bracket often excluded from private medical underwriting due to elevated health risks.
The product is structured into three age bands—61–70, 71–80 and 81–85—with inpatient cover starting at Sh500,000 annually. Entry premiums begin at Sh40,500 per year, rising with age and benefit levels up to Sh5 million.
The policy includes cover for cancer treatment, chronic and pre-existing conditions after a 12-month waiting period, psychiatric care, COVID-19, home care after hospital discharge, and funeral expenses.
Outpatient cover is optional, ranging from Sh50,000 to Sh350,000 annually, with premiums payable in four instalments through partner banks.
While the product expands access for older populations, industry constraints around rising healthcare costs and longevity risk remain key considerations for insurers operating in this segment.
HeriAfya Juniors targets institutions such as schools, orphanages and children’s homes, covering groups of at least 10 children aged 4 to 18. Inpatient premiums start at Sh8,929 per child annually for Sh500,000 cover, while outpatient cover costs Sh15,403 per child annually for Sh50,000 limits.
Unlike conventional child health policies, the cover is structured at institutional level, allowing mixed benefit tiers under a single policy. It includes cancer treatment, HIV/AIDS care, organ transplant cover, mental health services, and structured wellness programmes.
“Kenya’s institutional sector has grown significantly, and the complexity of healthcare costs has increased in parallel,” said, Rosalyn Mugoh, Managing Director, Heritage Insurance Kenya.
“We identified a clear protection gap affecting two of the most vulnerable populations in our society: our elderly, who are routinely excluded from private health cover, and children in institutional care, whose protection has been left to chance. HeriAfya Seniors and HeriAfya Juniors are designed to correct that.”
However, the success of such products will depend on uptake levels, pricing sustainability, and the ability to manage high-claims exposure in segments that typically exert pressure on insurers’ loss ratios.
The move positions Liberty Kenya in underserved, high-risk segments where healthcare shocks often translate into catastrophic costs for families and institutions, in a market where penetration remains among the lowest globally.
