Jubilee Insurance and TanManagement debut 200/- insurance cover

16Jan 2019
By Financial Times Reporter
Financial Times
Jubilee Insurance and TanManagement debut 200/- insurance cover
  • The first ever of its kind in Africa micro-insurance platform allows users to purchase insurance through scratch-card vouchers across all major networks in the country

Jubilee Insurance Company of Tanzania and Tan Management Insurance Brokers have partnered to launch the first  ever of its kind in Africa micro-insurance platform, which allows users to purchase insurance through scratch-card vouchers across all major networks in Tanzania.

TanManagement Group CEO Mohammed Jaffer (left) and the CEO of Jubilee Insurance, Dipankar Achariya, shake hands after signing the MoU for the launch of the first ever voucher based micro-insurance platform in Africa. Photo: Courtesy of TanManagement.

The first product launched on the platform is called the ‘Safari Vocha’- covering the unfortunate event of accidental death or permanent disability which may happen while travelling through any registered means of transport within the borders of Tanzania - air, road, train and sea.

The cost of the insurance is 200/- only for a cover of three days with a coverage of 1,000,000/-.

According to its pioneers, this is the first insurance platform of its kind where insurance purchase will be made through scratch cards and mobile phone based technology. The platform is aimed at increasing the penetration of insurance services with hassle free purchase and claims service features.

The first launched product, Safari Vocha, has three variants – three days, 180 days and 365 days coverage options and is unique in its appeal and value proposition. The coverage can be effected by purchase of a scratch card voucher from any kiosk throughout Tanzania with the identifiable “Bima-Time /Bima-Vocha” posters and then activation through mobile phone and policy documents received with tax invoices, EFD and receipt within 60 seconds via a link on the clients’ phone.

“Anyone having a mobile network from either Vodacom, Tigo, Halotel, Zantel or Airtel can buy this cover and the procedure is similar to recharging your mobile airtime,” said Dipankar Acharya, CEO of Jubilee Insurance Company of Tanzania.

“We are most grateful to the Government of Tanzania and to the Commissioner of Insurance for approving this platform, we have no doubt that we will play a large role in ensuring Insurance reaches every corner of the country and with this platform, it is very much possible within the shortest period of time,” he added.

When asked on foreseeable challenges, Acharya responded: “For now, our main challenge is in fact our largest opportunity, Tanzania and East Africa in general requires insurance education and with this platform and its reach we will reap from this opportunity to be the first insurer to cover the entire country.

“Our goal is simple, to launch at least five products on this platform in 2019 and within 36 months have at least 50 per cent of the population insured through the platform. Our future products will include, Medical Insurance, Life Insurance, Agriculture Insurance, Home Insurance and Bima-Toto Insurance, which we are expecting to launch within 2019 itself and perhaps even Motor Insurance by 2020.”

On his side, Mohammed Jaffer, Group CEO of TanManagement Insurance Brokers, said the innovative service is the game-changer for Tanzania and Africa as a whole.

According to him, Tanzania is the first country where the platform has been introduced but their aim is to cover six countries in the coming years.

He said the authorities’ approval of the platform shows that Tanzania wants to lead in tech-driven solutions in the industry.

When asked what the potential reach of the platform was, Jaffer bullishly replied: “Lets’ put it this way, with strong support from the Government through public–private partnership (PPP), we can cover up to 25 million lives within two years! That’s almost four times the current insured population!”

The vouchers will be available across Tanzania. This will also ensure that people in the urban, semi urban and rural areas are able to access the service. The claims can be lodged through USSD (*150*50*77#). The submission and payment is made through mobile money which eliminates the requirement of a Bank account for the beneficiary.

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