Global Perspectives: The Uninsured & Underinsured Opportunity Across Asia and Africa
In Asia and Africa, there's a huge chance for insurance companies to make a difference - not just by making money, but by helping people and communities.
In Asia and Africa, there’s a huge chance for insurance companies to make a difference – not just by making money, but by helping people and communities. Even though lots of people are moving to cities and using mobile phones, not many have insurance to protect themselves from unexpected events. This means that when bad things happen, people are left vulnerable, and it’s a big problem for society. But it’s also a great opportunity for insurance companies to come up with new and better ways of doing things, and really make a positive impact on people’s lives. By doing so, they can help reduce the risk of financial shocks and improve economic stability, which is essential for individuals, families, and communities to thrive.
A market defined by exposure, not protection
In lots of countries in Asia and Africa, families deal with money problems every day. They might have to pay for a hospital visit, fix damage from a big storm, or make up for lost income. But many of these families don’t have insurance to help them, or they don’t have enough. In some places, less than 3-4% of the country’s total money is spent on insurance, which is much lower than in richer countries where it’s 7-10% or more. This means that if something bad happens, a family can lose all the progress they’ve made in a short time.
This isn’t about people not wanting something, it’s about how things are shared, if people trust the system, and if the product is designed in a way that works for everyone.
Mobile-first societies, insurance-last products
Both regions are leapfrogging traditional infrastructure. Mobile money, digital wallets, and super-app ecosystems are now deeply embedded in daily life. Yet insurance offerings have largely failed to evolve at the same pace. Long policy documents, annual premiums, and opaque claims processes do not align with how consumers in these markets manage money or perceive risk.
This mismatch creates space for:
Micro- and bite-sized insurance tied to specific moments (travel, work, weather events)
Usage-based and on-demand coverage activated via mobile platforms
Parametric products that pay out quickly based on observable triggers rather than loss adjustment
When insurance companies create products that fit with how people really live and work, especially in areas like farming, health, and transportation, more people tend to buy them.
Climate risk as the catalyst
Asia and Africa are really feeling the effects of climate change. They’re getting hit with floods, droughts, typhoons, and heat stress, which is making it tough for people to get the food they need and keep a steady income. The problem is, the usual kind of insurance doesn’t work very well in these situations. It’s hard to figure out how much damage has been done and it takes a long time to get paid out, which doesn’t help when people need the money right away.
New ways of doing things are coming up to help small farmers and people with informal jobs. These new methods use special computer models and satellite pictures to figure out when someone needs help. They can also use mobile phones to send money quickly. This means people can get help fast, know exactly what’s going on, and trust the system – which is often a new thing for them.
This means something big: insurance is no longer just something you buy because you have to, but instead it’s a reliable way to protect your money.
Trust, not technology, is the real barrier
While technology enables scale, trust determines adoption. In markets where insurers are perceived as slow, foreign, or inaccessible, consumers rely instead on family networks, community pooling, or informal lenders.
Winning in Asia and Africa requires:
Transparent pricing and simple language
Fast, visible claims payouts
Partnerships with local ecosystems—telcos, agri-coops, employers, fintechs, and community organizations
The most successful models embed insurance invisibly into existing relationships rather than forcing consumers to seek it out.
An opportunity to build differently
For insurance companies around the world, Asia and Africa are more than just new markets – they’re a chance to start from scratch and create something new. This is a place where they can build insurance that is designed with the customer in mind, using the latest technology and data to make it work better. It’s a chance to make insurance that really matters to people and makes a difference in their lives.
Those who succeed will not simply export Western products. They will co-create new risk models, pricing structures, and engagement strategies grounded in local realities—while leveraging global capital, analytics, and underwriting expertise.
The reward goes beyond just growing the market. It’s an opportunity to rethink how insurance can help people and economies thrive, especially for the billions of people who still don’t have any protection.Check