Proud Chitumba, the brainchild of Selfsure, shares his journey with us.
SelfSure was derived from the word self-insure, which is a way of insuring your car by putting the premiums in your own savings account as opposed to paying them to the insurer.
SelfSure gives you control to convert a portion of your insurance premiums to savings by way of self-insuring some of the risks. In doing so, you will be able to build sufficient savings to cover any repairs and damage to your car.
About eight years ago I took out a car insurance policy, and like all drivers with little to no history on South African roads, I had to pay a monthly insurance premium of R1800. To date, I have paid R172,800 in insurance premiums.
Had I put my premiums in a piggy bank, I would have savings worth over R150,000 in insurance premiums by now.
Wouldn’t car insurance be more affordable and make more sense if I could get some of my premiums back if I don’t claim? The combination that I didn’t get any premiums back, that my claims weren’t guaranteed to be approved and that I would still have to pay an excess, was the inspiration for SelfSure
They say a startup dies three times before it shoots out the lights. SelfSure has died twice now. Employees and co-founders left to pursue other interests. We have encountered delays forming strategic partnerships with insurance companies. Corporates take time to make a decision and startups like SelfSure don’t have much time. Each day without answers can lead to a startup’s demise.
Entrepreneurship is a continuous journey. There will always be a better way of doing something and there will always be new problems and challenges that require a new way to solve them. I see myself moving from one problem to the other as a serial entrepreneur.
SelfSure is part of AlphaCode Incubate. The support of incubators like this cannot be understated. The financial support provided by an incubator forms the lifeblood of a startup especially at the early stage when the startup isn’t generating any revenue.
The mentoring support and the valuable contacts offered also plays an important role during the early stage of a startup. Without this mentorship, a lot of money would be wasted in conducting some of the pilots and experiments to achieve product-market fit.
More than hassling with funding or trying to build a team with the right skills, regulation is probably one of the biggest challenges of the fintech sector. The startup landscape in South Africa is restrictive and prohibitive for new players, especially for fintechs. There is a need for an ecosystem that fosters growth without stifling innovation by restrictive and highly burdensome regulation and policies.
We need to see more innovation hubs being created to bring entrepreneurs and incumbents together, as well as regulatory sandboxes that allow innovators to test new technologies and products in a safe environment.
You need to be a visionary. I imagine what SelfSure would look like in 2030, then come back to 2020 and I work toward that vision.
I can only encourage someone to do what they love. If it’s starting your own company you have to love working on that business or idea because there will come a time when all excitement, enthusiasm and energy are gone, then only passion will keep you going.
SelfSure’s Excess Wallet should be a standard add-on product on all motor and household insurance, making insurance more affordable and less of a grudge purchase but rather a springboard to financial freedom.
