Musoni MFI is the largest micro lending  business in Kenya, providing loans for business and agricultural purposes. Musoni lends out about $30 million annually and has partnered with MIC since 2015.

Problem

Musoni came to MIC with the aim of reducing Portfolio At Risk (PAR) which ensured business continuity and in addition enable borrowers to bounce back easily and continue with business operation in case of a risk event.

Solution

MIC Global created a credit linked solution combining health, life and property risk coverages.

Implementation

The product is sold on an embedded basis with the loan officers in charge of customer education.

Problem

This demographic is generally ignored by the traditional insurance companies. They therefore did not have insurance policies that catered to their peculiar needs. The banks therefore requested a product that will be best suited to the needs of their depositors.

Solution

MIC introduced a deposit linked offering bundled insurance offering called Fearless Insurance which is sold to the customers of these banks on a voluntary basis. Benefits include death, permanent disability, hospitalization and maternity.

Implementation

MIC distributes this deposit linked offering solution throughout the banking halls of various partners via sales agents who are strategically placed in the banks so that they are close to the customers.

A satisfied customer base who have purchased over 10,000 policies since the introduction of the Fearless Insurance offering and a happy banking partner generating extra income through commissions.

Problem

As their loan book expanded, they were faced with a huge number of loan defaults due to the death, disability and hospitalization of borrowers. This in turn impacted heavily on their non-performing loan ratios.

Solution

Embedding life and property insurance into loans to ameliorate the effects of perils such as death and property destruction on the default rate on loan book.

Implementation

MIC employs its MiConnect Platform to administer the policy to ensure proper data administration and claims monitoring and payment.

Problem

Absa was in search of a way to retain existing blue and white collar workers bank accounts as well as attract new customers to open accounts. They also aimed to increase market share in a fluid and competitive industry.

Solution

Introduction of an income replacement tool on an embedded basis, or Retrenchment Insurance, to distinguish account holders and provide a superior product offering to the client.

Implementation

MIC introduced embedded retrenchment insurance for all account holders. This helped to increase enrollment of salary accounts to blue and white collar workers in Ghana.

One Acre Fund (OAF) is the largest lender to farmers in Africa. OAF was created to supply financing and training to help agricultural workers grow their way out of hunger and build lasting pathways to prosperity.

We recently partnered with OAF to help their farmers pay loans back on time when they fell on hard times, with an embedded insurance solution. 

Problem

Some farmers struggled to repay their loans when disaster struck. The two main causes were: 

• A death in the family:
  Funerals are a big deal and very costly in Africa
• Health issues:
  If someone gets sick and as a result, have large medical expenses or are unable to work. 

Solution

MIC Global created simple health and funeral insurance products to help with these two major financial burdens, so more farmers would be able to pay their loans on time.

Implementation

MIC created a video that explained the insurance products very simply and loaded the video onto tablets to give to loan officers to play for farmers out in the fields.