MICROCAPITAL BRIEF: MicroEnsure Raises $10m in Equity from International Finance Corporation, Omidyar Network, Opportunity International, Telenor Group; First-Time Investors AXA, Sanlam Emerging Markets

MicroEnsure, a UK-based, for-profit microinsurance company founded by US-based NGO Opportunity International, has announced that it has raised a total of USD 10.4 million from six investors including some of the company’s past investors: Opportunity International; the International Finance Corporation (IFC), the private-investment arm of the World Bank Group; Omidyar Network, a US-based social investment firm; and Telenor Group, a telecommunications company based in Norway. In addition to its cash investment, Telenor Group “has taken equity in the MicroEnsure Group through a conversion of debt and by merging its 51% shareholding in the ‘MicroEnsure Asia’ Joint Venture with MicroEnsure Holdings Ltd”[1]. Additionally, MicroEnsure secured new investments from AXA, a Belgian asset management company, and Sanlam Emerging Markets, a financial services group based in South Africa. No information regarding the amounts invested or the equity received by each investor is being made available.

MicroEnsure provides products including health, life, property and index-based insurance to approximately 7.6 million clients in Africa, Asia and the Caribbean as of 2014.

By Juan Blanco, Research Associate

About MicroEnsure

Formerly known as Micro Insurance Agency, MicroEnsure was founded in 2005 in the UK as a subsidiary of US-based nonprofit microfinance network Opportunity International. In 2013, the organization converted to for-profit status, at which time time it was owned by members of its management as well as US-based NGO Omidyar Network and the World Bank Group’s International Finance Corporation (IFC). In 2014, Belgian asset manager AXA, Norwegian Telecom Telenor and South African investor Sanlam Emerging Markets also took equity in the firm. As of 2014, MicroEnsure provides products including health, life, property and weather-index insurance to approximately 7.6 million clients in Africa, Asia and the Caribbean. About half of those insured by MicroEnsure are in located in Africa, where microinsurance has primary subsidiaries in Kenya, Ghana, Tanzania as well as satellite operations in Malawi, Mozambique, Rwanda, Zambia and Zimbabwe.

Sources and Additional Resources

[1] MicroEnsure, “Rapid expansion attracts new investors for MicroEnsure,” 2014, http://www.microensure.com/news.asp?id=300&start=0

[2] Information provided to MicroCapital by MicroEnsure.

MicroCapital, May 14, 2014, Advans Pakistan Microfinance Bank, MicroEnsure, EFU Life to Cover Loan Payments in Case of Sickness, Disability, Death, Death of Spouse

MicroCapital, May 2, 2014, Airtel Ghana, MicroEnsure, Enterprise Life Roll Out Free Mobile Accident Insurance in Ghana

MicroCapital, November 11, 2013, MicroEnsure, Telenor Pakistan, Jubilee Life Insurance Company to Offer Free Life Insurance to Prepaid Mobile Customers in Pakistan

MicroCapital Universe Profile: MicroEnsure

MicroCapital Universe Profile: AXA Belgium

MicroCapital Universe Profile: International Finance Corporation (IFC)

MicroCapital Universe Profile: Omidyar Network

MicroCapital Universe Profile: Opportunity International

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