PalmPay, a digital banking platform in Africa, has unveiled new strategic alliances with top insurance providers as part of its efforts to tackle Nigeria’s consistently low rate of insurance coverage.
According to a statement by PalmPay, the initiative introduces a range of affordable insurance products directly within the PalmPay app, targeting the everyday Nigerian user. The initiative is part of the company’s broader commitment to deepening financial inclusion and improving access to essential financial services.
According to recent estimates, only about 8.9 per cent of Nigerians are covered by any form of health insurance, making the country one of the least insured populations in Africa. Barriers such as affordability, lack of awareness, and low trust in the insurance system have limited uptake, particularly among low-income and underserved communities.
Habib Kowontan, Head of Wealth Product at PalmPay, said, the new insurance offering was designed to overcome these challenges by simplifying the process of buying and managing insurance policies.
Kowontan said, “Insurance is often perceived as complex or inaccessible, especially among underserved communities. Through these partnerships, we aim to break down those barriers by offering simple, reliable and affordable insurance options that are easily accessible within the PalmPay app.”
The new feature allows users to purchase a range of coverage types, from health and device protection to life insurance, directly from their mobile devices, without the need for intermediaries or complex paperwork.
With over 35 million users across Nigeria, PalmPay is positioning itself as more than just a payments platform. The integration of insurance expands its growing suite of services, which includes transfers, bill payments, high-interest savings, and debit card issuance.
Chika Nwosu, Managing Director of PalmPay, said the insurance feature underscores the company’s mission to become a trusted digital financial partner.
Nwosu said, “Our goal at PalmPay is to remove barriers and make essential services easily accessible to everyone. Through these strategic partnerships, we’re expanding our services to be more inclusive and empowering our users with products that will positively impact their lives and finances.”
PalmPay said the addition of insurance products represents a key milestone in its evolution as a digital bank, especially in a country where informal workers, small business owners, and rural dwellers are often excluded from traditional insurance frameworks. PalmPay aims to drive adoption through convenience, affordability, and trust, reinforcing its role as a platform that supports both financial empowerment and everyday well-being.
