13 Jun Linking insurance with remittances through technology
Posted at 19:04h in
April 6, 2020 | Sector: Private sector, Public sector
IFAD piloted a new microinsurance distribution channel linked to remittance services, promoting partnerships between Money Transfer Operators (MTOs) and insurance companies who wish to develop customised products for migrant workers and their families back home. The project involved financial literacy to strengthen the knowledge of remittance families on the benefits of insurance and how to issue claims digitally.
IFAD extended a grant to ADA, an inclusive finance NGO, that partnered with the technology enabler Democrance to provide insurance to migrants in the Gulf and their families back home via remittance channels. In the UAE, they worked with money transfer operator Hello Paisa, inclusive FinTech RISE, and insurance powerhouse AXA, to create simple and cost effective ways to allow migrant workers to access insurance and redeem claims using their mobile phones.
What have been the results so far?
- Almost 10,000 free insurance policies activated
- 99% of female insurance uptake thought MTO Rise
- Enabled migrant families to extend insurance to their families back home
- Over 8,000 remittance families attended digital financial literacy sessions