1 Reply Latest reply: Dec 19, 2014 12:43 AM by jeremyl RSS

    Managing risk while facilitating innovation: the case of m(obile)-insurance in Tanzania

    jeremyl C4D Enthusiast
    Visibility: Open to anyone



      Insurance sold through mobile network operators (m-insurance) is gathering momentum and is raising broader questions around the use of technology and regulation.  A recent IAIS / a2ii / AIO / Microinsurance Network Policy Seminar in Rwanda, which I participated in, had incredibly robust discussions around how to manage these issues in practice -  Policy Seminar on Microinsurance Regulation for Insurance Supervisory Authorities: Access to Insurance Initiative


      In an aim to help address these queries, attached is the second of two case studies on m-insurance regulation looking at the experience of Tanzania and which contrasts the two countries supervisory environment.  The first case study was on Zimbabwe where 20% of the adult population lost their cover overnight which had market wide impact.  The Zimbabwe paper is available at: Regulating m-insurance in Zimbabwe: managing risk while facilitating innovation

      We would appreciate comments and thoughts as we build the evidence base to support supervisors around how to manage the risks that these models pose, yet supporting their continued roll out.

      Kind regards


        • Re: Managing risk while facilitating innovation: the case of m(obile)-insurance in Tanzania
          jeremyl C4D Enthusiast

          It may interest readers, that drawing on the lessons from m(obile) insurance, the Kenya Microinsurance Policy Paper is now proposing a 'living will' requirement for all service level agreements for microinsurance initiatives to set out how a scheme should be closed down.  This is the first pilot of this approach so I look forward to seeing how it works and how supervisors can learn from the experience:


          "Creating a living will:    The SLA should specify how, in the case of the failure of the arrangement, the insurer, aggregator and supervisor will ensure that:

           a sufficient and well-communicated notice period is given;

           alternative options are available to clients, including voluntary paid cover, before the scheme is stopped;

           arrangements are made concerning appropriate payment mechanisms for the alternative schemes;

           the aggregator and insurer continues to monitor and address complaints for a set period;

           the supervisor is routinely updated on the wind down of the scheme and the levels of complaints."


          The Policy Paper is available below: