Health insurance schemes in Africa struggle to reach low-income households, whether because they’re offered by private providers and are often unaffordable to poor families, or because they’re under-resourced public programs.
In turn, people who need care often have no option but to pay out of pocket.
“The current health insurance model excludes huge parts of the African population as the administrative costs are too high, there is not enough data and outpatient costs cannot be controlled,” explained Max Coppoolse of Investment Funds for Health in Africa (IFHA).
IFHA, along with ELMA Philanthropies and non-profit health access group PharmAccess, has backed CarePay’s €40 million ($44.8 million) funding round to support the expansion of its “health-wallet”, M-TIBA.
5 million users and 1,200 healthcare providers in Kenya. It is expanding in Tanzania, where it supports 65,000 patients via five clinics, and Nigeria, where it is partnering with the states of Lagos and Kwara for their state-wide insurance roll outs.