International Finance Corporation, a worldwide financial organization, would invest up to $5 million in stock in Indonesia-based Kitabisa (IFC).
An announcement on the IFC website states that the online crowdfunding platform intends to grow its clientele by offering inexpensive Shariah insurance options. The middle-class and lower-income groups will be the product’s primary market.
“Through an end-to-end digital business model, development of unique and affordable products, and a focus on increasing consumer awareness of insurance, Kitabisa will tackle some of the key barriers to insurance access in Indonesia,” IFC wrote.
A life insurance platform called Kitajaga was introduced in 2021 as a result of the company’s partnership with insurtech startup PasarPolis. Additionally, Kitabisa is collaborating with Asuransi Takaful Keluarga to offer tabarru, or Shariah-compliant insurance, products.
By depositing money, Shariah insurance policyholders can employ tabarru to help other participants in the event of a specific danger. The money acquired through the Kitajaga platform is managed by Asuransi Takaful Keluarga.
The country’s Financial Service Authority (OJK) shut down Saling Jaga’s activities a few months prior to the introduction of Kitajaga because it lacked an insurance license. Kitabisa started the mutual aid program Saling Jaga to assist local communities in receiving medical treatment during the Covid-19 epidemic.
