Stima DT Savings and Credit Cooperative Society Limited (Stima Sacco) has officially launched Mpawa Insurance Brokerage, marking a significant strategic shift in its insurance business operations.
The launch, held in Nairobi on Wednesday, signals the transformation of Mpawa from an insurance agency into a fully-fledged insurance brokerage, in line with Stima Sacco’s 2022–2026 Strategic Plan focused on growth, profitability, and market expansion.
Strategic Shift to Broaden Revenue Streams
The conversion was approved by shareholders as part of a broader revenue diversification strategy aimed at strengthening the Sacco’s financial position and enhancing member value.
Previously operating as Mpawa Insurance
Agency, the subsidiary was limited to representing specific insurance partners. With the new brokerage license, Mpawa Insurance Brokerage now has the legal autonomy to represent clients independently rather than insurers.
Stima Sacco Launches Mpawa Insurance Brokerage Subsidiary
Dr. Gamaliel Hassan, Chief Executive Officer of Stima Sacco, described the insurance business as critical in supporting the Sacco’s core mandate of offering savings and credit solutions.
He clarified that the brokerage will not underwrite risks directly. Instead, it will acquire and transfer insurance business to underwriters for a commission, allowing the Sacco to avoid the heavy capital requirements associated with primary underwriting.
Enhanced Value for Over 241,000 Members
The transition is expected to deliver immediate benefits to Stima Sacco’s more than 241,000 members as well as the wider public.
Under the brokerage model, Mpawa will offer:
Independent Advocacy
The brokerage will provide unbiased advice tailored to clients’ specific needs, unlike agents tied to particular insurance carriers.
Wider Market Access
The ability to shop across the insurance market enables comparison of multiple products, ensuring competitive pricing and comprehensive cover options.
Claims Support
Professional representation during claims processing to safeguard clients’ interests and ensure fair treatment by insurers.
Risk Management Advisory
Expert risk assessments to identify coverage gaps for retail customers and small and medium-sized enterprises (SMEs).
Building on a Strong Performance Record
Mpawa Insurance Agency was incorporated in May 2018 and licensed in 2019. Since inception, it has recorded steady growth, with premiums written rising from KES 147 million in 2019 to KES 267 million in 2021.
The newly established brokerage is backed by Stima Sacco’s strong financial base, including total assets of KES 75.27 billion and a liquidity ratio exceeding 90 per cent. The Sacco says this solid capital foundation positions Mpawa Insurance Brokerage competitively within the regional insurance market.
Positioning for Future Growth
According to the transition team, the launch represents a pivotal corporate milestone requiring strong visibility.
“It represents our evolution from a high-performing agency into a trusted, member-centric insurance solutions partner with a clear pathway for future growth,” the team stated.
With the official rollout of Mpawa Insurance Brokerage, Stima Sacco is seeking to deepen its financial services ecosystem while reinforcing its commitment to delivering diversified, sustainable value to members