Mastercard has entered the embedded insurance space in East Africa through a strategic partnership with Insurtech company Hillcroft (mTek).
The collaboration will see tailored insurance products integrated directly into Mastercard’s consumer and SME card offerings, enabling millions across the region to access affordable coverage within the payments ecosystem they already use.
The initiative is designed to remove long-standing barriers to insurance uptake, including high upfront costs, lengthy application processes, and limited distribution networks. Insurance penetration in East Africa currently stands at below 3%, among the lowest globally. By embedding protection into everyday transactions, Mastercard and Hillcroft (mTek) aim to accelerate adoption and strengthen financial resilience for individuals, farmers, and small businesses.
“This collaboration reflects Mastercard’s commitment to unlocking financial inclusion,” said Shehryar Ali, Senior Vice President and Country Manager for East Africa and Indian Ocean Islands at Mastercard. “By bringing insurance directly into the payment experience, we are removing friction and making protective cover accessible to millions of people and businesses. From consumers buying daily goods to farmers selling their harvest, this initiative is about building resilience and supporting economic growth across East Africa.”
Small and medium-sized enterprises (SMEs), which account for more than 90% of businesses in East Africa, are expected to benefit significantly from the initiative. Many face persistent challenges in accessing affordable insurance products. By offering coverage at the point of transaction, Mastercard and Hillcroft (mTek) hope to close this gap while leveraging Mastercard’s trusted payment infrastructure and Hillcroft’s Insurtech expertise.
“At Hillcroft (mTek), our mission has always been to reimagine access to insurance in Africa,” said Bente Krogmann, CEO at Hillcroft (mTek). “Collaborating with Mastercard allows us to scale our technology and connect with millions of consumers and SMEs through trusted payment channels. Together, we aim to deliver solutions that are simple, affordable, and life-changing for underserved communities.”
The partnership will also create a wider ecosystem by engaging financial institutions, insurance providers, and telecommunications companies. This integrated model will deliver digital and virtual card solutions that bundle payments with insurance. Hillcroft (mTek) will provide API integration with underwriters, technical platform support, and co-develop products with insurers to ensure sustainability and scalability.
For consumers, the collaboration offers affordable insurance products seamlessly tied to their daily payment habits. For SMEs and farmers, it provides vital risk management tools to safeguard growth. And for financial institutions and telecoms, it opens new opportunities to deepen engagement, expand reach, and strengthen customer loyalty.
With Africa’s insurance penetration still among the lowest in the world, the Mastercard–Hillcroft (mTek) partnership sets a new benchmark for how digital payments can serve as a gateway to essential financial protection.
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