MICROFINANCE | RuralNet expands calamity insurance after P400M in claims payouts
RuralNet said its platform currently provides insurance services to more than six million Filipinos through partnerships with insurers, rural banks, cooperatives and microfinance institutions.
Digital insurance platform RuralNet said it has paid out more than P400 million in microinsurance claims covering 33,000 cases and plans to expand its natural calamity insurance offerings by the third quarter of 2026.
The company announced the expansion on June 18 as the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA) warned that El Niño conditions have developed and could affect parts of the country through early 2027.
RuralNet said its platform currently provides insurance services to more than six million Filipinos through partnerships with insurers, rural banks, cooperatives and microfinance institutions. The company said it operates in 81 of the country’s 82 provinces.
The planned rollout will focus on providing financial protection for low-income households and rural communities vulnerable to typhoons, flooding and drought, particularly in agricultural areas.
“As a social impact company, RuralNet was founded to provide a safety net to low-income Filipino families who are the most vulnerable to financial shocks,” said Justin Arcenas, founder and chief executive officer of RuralNet Inc.
“This latest milestone proves that our affordable microinsurance plans can make a real difference for thousands of families when they need it most, while also being a scalable and profitable business model,” he added.
Arcenas said the company aims to expand its calamity protection products to help rural households recover more quickly from climate-related disasters.
The company said its digital infrastructure allows partner organizations to distribute insurance products electronically and process claims more efficiently. RuralNet reported a 97% claims approval rate and said its claims processing time is 75% faster than the industry average.
The announcement comes as insurance penetration in the Philippines remains below 2%. RuralNet cited Insurance Commission data showing insurance penetration reached 1.78%, while only 28% of Filipinos have life insurance coverage.
RuralNet’s wholly owned subsidiary, CashKO Insurance Brokerage, has generated P400 million in premiums and works with 22 distribution partners operating through more than 5,000 branches nationwide, according to the company.
The company said its upcoming calamity insurance products will target rural and agricultural sectors exposed to weather-related risks, including severe drought, flooding and tropical cyclones.
