Country of Operation
Target income level
- Bottom 20%
- Lower-middle income (20-40%)
- Middle-income (40-60%)
- Other/not applicable
SummaryMicroEnsure is an insurance intermediary that designs and implements insurance for the poor in low-and middle-income countries for over a decade. It is the world’s first and largest organization whose exclusive focus is to address the mass market’s need to mitigate risk.
Mass-market consumers face persistent risk in their day-to-day lives. Those who have access to insurance tend to be middle and upper income consumers, who face the least risk of all. MicroEnsure exists to address this disparity, by introducing new forms of insurance protection for the poor, including crop, micro-health, political violence and mobile insurance.
Key program components
MicroEnsure is an insurance intermediary dedicated to serving the poor throughout the developing world with an affordable and appropriate range of insurance products. It reaches out to large numbers of the poor with low-cost insurance products designed to match their needs. At the same time, MicroEnsure negotiates with insurance companies on behalf of their clients to keep premiums to a minimum. The company's aim is to achieve sustainability for insurance companies, product distributors, and clients.
In order to distribute our products effectively, MicroEnsure seeks to work in partnership with organizations that are currently serving the poor, such as microfinance organizations, rural banks and SACCO's, as well as humanitarian organizations that are providing non-financial services. In addition, MicroEnsure serves other social aggregators, including trade unions, professional associations, and faith-based networks.
The key to minimizing the cost of microinsurance is the sophisticated MIS system employed in its back office processing that tracks details of clients covered, collects premiums and administers claims. By acting as an intermediary, MicroEnsure is well-positioned to extend insurance coverage very efficiently with simple, understandable, and scalable products. Its extensive market research and insurance expertise ensures that it can design products that address the real financial risk management needs of the poor.
Key Health Programmes:
In India, MicroEnsure has initiated projects with various partners by offering hospital insurance, delivering cashless access to hospital for poor (mainly rural) households in Maharashtra, Andra Pradesh, Kerala, Tamil Nadu and Kerala. Typical premiums have been around US$5.00 per person per year.
In the Philippines, we have recently launched our Hospicash product, which pays a fixed amount of cash per day for each day of hospitalisation. Our research has shown that nearly 30% of health related expenditures is for costs other than medical expenses themselves - so this type of product, which is easier to administer, delivers real impact to the mass market without the inordinate complexities involved in products which engage health providers. Premiums average US$ 4.00 per person per year. MicroEnsure designed and priced the product, secured reinsurance in the international market and is responsible for end-to-end claims management and fraud control (an essential component for this type of product).
In Ghana we have initiated an innovative hospital cash derivative in partnership with microfinance banks, called Credit Health, which pays a borrower's loan instalment when s/he is hospitalised. Demand is high and cost is low--around US$ 0.25/month.
In Nigeria, we have implemented a mobile money program through Airtel Insurance. Airtel Insurance is a free insurance policy for Airtel subscribers that cover death and hospitalization. The subscriber qualifies for a cash pay out depending on t
The Health Finance and Governance (HFG) Project’s Mobile Money to Strengthen Health Systems Activity