The fund has secured backing from FSD Africa Investments (FSDAi) and ZEP-RE (PTA Reinsurance Company), which are serving as anchor investors.

The investment vehicle aims to reach a final close of $30 million and will provide equity financing to startups from pre-seed stage through Series B.

The announcement comes at a time when Africa continues to face one of the world’s largest insurance protection gaps.

Insurance penetration remains below 3 per cent in many African countries, leaving millions of households and businesses exposed to financial shocks from illness, climate events, crop losses, and business disruptions. Industry estimates show that the vast majority of economic losses from natural disasters on the continent remain uninsured.

3IF Ventures plans to invest in technology-driven insurance businesses that address longstanding barriers to insurance adoption, including low awareness, limited accessibility, and affordability challenges.

The fund estimates that more than one billion Africans currently lack access to any form of insurance cover.

Its investment strategy will focus on four key sectors: climate and disaster resilience, agriculture and rural livelihoods, digital health and wellbeing, and protection solutions for small businesses and assets.

The fund expects to build a portfolio of between 15 and 20 companies across Africa. In addition to capital, it will operate a technical assistance facility equivalent to roughly 20 per cent of total commitments to help portfolio companies strengthen their operations and scale effectively.

3IF Ventures has adopted a blended finance structure that combines catalytic and commercial capital.

The model is designed to attract more private investors into Africa’s insurance sector by reducing investment risk while supporting businesses that can generate both financial returns and measurable social impact.

Over its lifetime, the fund aims to facilitate the issuance of more than 5.9 million insurance policies, improve financial resilience for over 3.5 million households and small businesses, and contribute to the creation, retention, or support of more than 1.7 million jobs.

Anthony Chaillet and Dr. Mario Wilhelm, General Partners at 3IF Ventures, said reaching the first close demonstrates growing investor confidence in Africa’s insurance innovation ecosystem.

“Reaching First Close with FSD Africa Investments and ZEP-RE on the same cap table is a market signal: impact and private capital are now investing in the same insurance technology pioneers. Africa’s protection gap is the most under-served commercial opportunity of the decade,” they said.

They added that the fund already has a pipeline of 15 pre-qualified insurance ventures operating across 10 African markets and is preparing to deploy capital while engaging additional public and private sector investors.

For FSD Africa Investments, the new fund represents the next phase of efforts to build a stronger insurtech ecosystem on the continent.

“FSDAi’s investment in 3IF Ventures reflects our conviction that the insurtech sector is ready to scale – built on a pipeline of 135 early-stage businesses supported through BimaLab,” said Anne-Marie Chidzero, Chief Investment Officer at FSD Africa Investments.

“As the first investment vehicle dedicated to inclusive insurance in Africa, 3IF Ventures brings institutional rigour to a segment that has long lacked it.”

Hope Murera, Managing Director and Group CEO of ZEP-RE, said the reinsurer’s involvement extends beyond providing capital.

“The Fund will assist in bringing together like-minded partners and capital providers to support technology-enabled insurance businesses that help in closing the protection gap across Africa,” she said.

Murera noted that ZEP-RE will also provide technical expertise, including support in product development, underwriting capacity, and regulatory engagement through its network of insurers and regulators across the continent.

Founded as the first impact venture capital fund dedicated solely to Africa’s insurance startup ecosystem, 3IF Ventures seeks to turn the continent’s large protection gap into a scalable investment opportunity.

The fund’s leadership believes that combining capital, industry expertise, and ecosystem support can help accelerate insurance innovation while improving financial resilience for millions of Africans.