With the acquisition of Genric Insurance Company in its entirety, Old Mutual is expanding its foray into the insurtech sector.
Genric is a licenced non-life insurer that works in partnership with a variety of specialised underwriting management agencies, start-up firms, and insurtech innovators, in which it also maintains ordinary stock interests. Genric is also an insurtech innovator.
Old Mutual’s acquisition of Genric takes place during a period in which insurtech businesses are accelerating the transformation of the traditional insurance industry.
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Traditional insurance businesses that wish to deliver digital goods and services are finding that these digital insurance companies are excellent partners.
Local insurtech firms like Simply Financial Services, Pineapple, and Naked have all witnessed significant growth over the past 18 months, which is an indication of the sector’s potential.
Old Mutual claims that this deal provides them with “access to a new customer base in accident and health, medical insurance, as well as other specialist insurance such as value-added products, cash in transit, equestrian, marine, travel, taxi, heavy commercial vehicles, and shack insurance.”
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Old Mutual says in a notice to shareholders that the acquisition is likely to enhance its insurance’s customer service experience by including value-added services offerings offered by Genric, develop more innovative products, and give it access to new markets through low-cost products. Old Mutual also says the acquisition will give it access to new markets through low-cost products.
According to Old Mutual, Genric has “demonstrated its capacity to find and develop start-up businesses.” Genric was founded in 2005.
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The deal is still contingent upon obtaining the necessary regulatory clearances, such as those from the Prudential Authority and the Competition Commission.
Genric insurance Genric insurance
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard. You can book a session and speak with him using the link: https://insightsbyexpert