Bima Mkononi powered by Airtel, Bima ya Karo by Madison insurance are some of insurances Kenyans have been acquainted with. The Bima payments that depend on the customers’ choice of subscriptions go as low as ten shillings a day. Insurance has gained ground in Kenya over the last year with citizens now subscribing to different forms of ‘Bima’ in various institutions.
Insurance comes across as a way to lessen financial burden to loved ones or even for future purposes that it may pay off without having to part with a wholesome amount all at once. The services have also targeted the health sector to reduce vulnerability among Kenyans.
Orange Telecommunications company has today launched a mobile insurance product, Orange Bima that will henceforth give mobile subscribers the opportunity to insure their mobile devices, with a sum assured of up to ksh 40,000, as well as sign-up for a life cover with a sum assured of up to 100,000.
In conjunction with CIC Insurance Group, Orange Bima introduces the lowest per-day premium payments in the country at ksh 1, and for the first time subscribers will be able to pay for their premiums using their airtime. This makes it easier for the common ‘mwananchi’ to subscribe to Bima services only having to part with a little amount from their daily top up.
The new product adds convenience in the payment of insurance products and is strategic in Orange’s quest to play a role in increasing the overall insurance penetration in Kenya. “Insurance policies are important solutions that help cover risk, thereby saving on substantial amounts of money in the event of unforeseen occurrences. Orange is keen on playing it part, when it comes to the use of mobile devices by our subscribers,” says Michael Ghossein. This mobile device insurance solution will cover the device against all risks.
The ease of Orange Bima comes in enabling Orange Mobile subscribers to also get a life cover by subscribing via USSD *242#, despite the location, be it at home or at the office, and have daily, weekly or monthly deductions from their airtime.
CIC Insurance is looking to tap into opportunities offered by rapid growth in the telecommunications sector to widen its market share through its mobile premium payment platform, CIC M-Bima by targeting mobile subscribers.
The device plus life cover will be available to Orange mobile subscribers who purchase devices from Orange shops from August 5th, 2014. The policy insures the device against all risks and a life cover against accidental death, and customers will have a choice of either Silver, Gold or Platinum insurance covers, attracting annual premiums of KSh 365, KSh 1,000 and KSh 2,000 respectively.
The life cover is open to all Orange mobile subscribers, insuring against accidental or natural death, with the choice of Diamond, Platinum and Infinity plans. Annual premium for the Diamond cover will be Ksh 240, Ksh 600 for Platinum and Ksh 800 for the Infinity cover. To register for any of the covers, subscribers will be required to dial *242#.
The service will be of great benefit to subscribers being the first mobile insurance product in the market that bundles both device and life covers. It will reduce churn even further since customers’ SIMs will be active for the premium deductions.