Pula Secures $20M In Seed B Funding

Pula, a Kenyan insuretech pioneer specialising in agricultural insurance has closed a substantial $20 million Series B funding round led by global investment manager BlueOrchard via its InsuResilience strategy.

The investment targets the expansion of insurance coverage to smallholder farmers in emerging markets, particularly those vulnerable to the ravages of climate change. Other prominent investors include the International Finance Corporation (IFC), the Bill & Melinda Gates Foundation, and Hesabu Capital.

Pula’s journey began in 2015 when Rose Goslinga and Thomas Njeru identified a critical challenge for millions of smallholder farmers- the constant threat of climate-induced disruptions like floods, droughts, and pests. These events can devastate livelihoods and disrupt food production cycles. Pula’s innovative insurance solutions act as a safety net, enabling farmers to bounce back from losses and continue cultivating their land.

Thomas Njeru, CEO, Pula, expressed enthusiasm about the funding round, stating that “Partnering with this group of like-minded investors to boost the growth of Pula globally is a very exciting milestone in driving our triple 100 vision, through which we intend to bring insurance to 100 million smallholder farmers.” He added, “What started nine years ago as an unconventional idea that many deemed un-scalable is now a proven solution that has solved real needs for millions of smallholder farmers across 22 countries.”

Since its launch, Pula has collaborated with more than 70 insurance and 20 reinsurance companies alongside 100 distribution partners to deliver its products effectively.  Pula has built a distribution channel of over 100 partner organizations, including NGOs, banks, governments, and agricultural input companies, to serve even the hard-to-reach farmers, by embedding insurance, for instance, in farm input costs or credit.

In response to their strategy’s potential, Pula closed a $6 million Series A investment in 2021 led by TLcom Capital and with participation from the nonprofit Women’s World Banking. It also received initial funding in 2018 through a $1 million seed round from Rocher Participations. This initial support coupled with backing from Accion Venture Lab, Omidyar Network, and a series of angel investors, laid the foundation for Pula’s growth.

Pula aims to strengthen its presence in existing African markets like Kenya, Zambia, Malawi, and Mozambique, while venturing into new regions like Asia and Latin America, managed from Switzerland and coordinated from the Kenya service centre. Following a successful pilot programme in Nigeria, Pula intends to introduce livestock insurance products in additional countries. The company has supported over 15.4 million farmers across Africa, Asia, and Latin America to get insured against floods, droughts, and other climate-related events.