Pula, a Kenyan-based insurtech firm, has garnered a substantial $20 million in series B funding to bolster its presence across Africa, Latin America, and Asia.
Spearheaded by global investment manager BlueOrchard, alongside contributions from prominent entities like IFC and the Bill & Melinda Gates Foundation, this infusion of capital marks a pivotal moment for Pula’s expansion endeavors.
At the heart of Pula’s mission lies a commitment to extending vital insurance services to smallholder farmers, often marginalized and remote. Through a network of over 100 partners spanning charitable organizations, financial institutions, governmental bodies, and agricultural suppliers, Pula embeds insurance solutions seamlessly into agricultural processes, whether in the form of input costs or credit provisions.
Tailored to the unique contexts and requirements of its clientele, each insurance product offered by Pula is meticulously crafted using data-driven insights. Leveraging a sophisticated digital actuary platform, Pula analyzes historical data encompassing weather patterns, crop yields, and risk events such as floods or droughts to devise optimal coverage strategies.
The impact of Pula’s initiatives reverberates through tangible outcomes, with farmers experiencing heightened investment, amplified yields, and fortified financial resilience. In regions like Africa, where small-scale farmers constitute a substantial portion of the agricultural landscape yet remain vastly underinsured, Pula’s interventions offer a beacon of hope for sustainable growth.
Thomas Njeru, CEO of Pula, articulates the transformative journey embarked upon by the company, from a new concept to a formidable force driving positive change. Njeru’s vision, encapsulated in the aspiration to extend insurance coverage to 100 million smallholder farmers, underscores Pula’s unwavering commitment to catalyzing agricultural prosperity.
Drawing from empirical evidence, Njeru highlights the substantial dividends reaped by farmers embracing Pula’s insurance solutions. Research conducted across various African countries reveals compelling statistics: a 16% uptick in farm investment, a staggering 56% improvement in yields, and a remarkable 170% surge in household savings. Furthermore, the tangible impact of Pula’s interventions manifests in insurer payouts exceeding $40 million, benefitting nearly one million farmers to date.
Evidencing the efficacy of its offerings, Pula boasts an impressive renewal rate, with 80% of farmer groups and aggregators opting to continue their insurance coverage annually. This robust retention rate underscores the efficacy and satisfaction derived from Pula’s comprehensive suite of products, cementing its status as a trusted partner in agricultural risk management.
Looking ahead, Pula sets its sights on expanding its portfolio to encompass livestock insurance, building upon successful pilot programs conducted in regions like Nigeria. With a steadfast commitment to innovation and inclusivity, Pula charts a course towards furthering its impact across diverse geographies, propelling agricultural resilience and prosperity for generations to come.
