The alarming poor uptake of health insurance has become an issue of concern among members of the private sector in technology, insurance, and telecommunication.
This is on account that less than 1 percent of Ugandans have no form of medical insurance and often have to sell a family property in an effort to afford health care.
It is on that background that Airtel Mobile Commerce Uganda Limited (AMCUL) announced a strategic partnership between Prudential Assurance Uganda Limited and insurtech Turaco Insurance Brokers LTD to provide ‘Hospital Sente’, a low-cost hospital cash insurance product aimed at increasing access to insurance for underserved communities, and low-income individuals and families.
Airtel Mobile Commerce Managing Director, Japheth Aritho said, Airtel Money offers a platform where a claim can be submitted and even renewed adding that they ensure that financial inclusion is attained by not leaving anyone behind.
“We have listened to our customers and paid attention to what they have been going through when they are hospitalized. Some of them come out of the hospital and they cannot take kids to school or even they lose their property, so we had to partner with others since we are not licensed to offer insurance”, said Aritho.
Hamza Mutebi, the Country Manager, of Turaco Insurance Brokers, said, “You can actually afford to lose 1000 shillings and not lose your mind over it. We are saying, have insurance of 1000 shillings, it’s a negligible amount. What more can you talk about financial inclusion and not talk about Hospital Sente ?”
According to Tetteh Ayitevie, Chief Executive Officer, Prudential Assurance Uganda Limited Hospital Sente, offers hospital cash pay-out to beneficiaries upon inpatient hospitalization at any accredited hospital.
“This benefit is paid for up to 10 nights within a policy year. It also offers a funeral benefit that provides cover to the member on death due to natural or accidental causes and is payable to the member’s nominated Next of Kin,” he noted.
In regard to claims, Insurance Regulatory Authority, Director of Supervision, Obel Bernard noted that they expect Prudential to live up to its commitment to settle claims, pledging commitment to supporting micro insurance products.
Relatedly, Bank of Uganda, Director In Charge of National Payments System, Mackay Aomu, the product will go a long way in increasing financial inclusion through increased usage which will ensure a multiplier effect that is also expected to impact people at the bottom of the pyramid.
He however cautioned stakeholders on cyber security, change of mindset among the populace, and the need to train agents regularly on the requirements of the law to prevent fraud.
The product is segmented into three affordable plans comprising the Platinum plan which comes with a funeral benefit of 4 Million shillings, and a hospital cash pay-out of 100,000 shillings per night of admission at a premium of only 5000 shillings every month.
The Gold plan provides a funeral benefit of 2 Million shillings and a hospital cash pay-out of 60,000 shillings per night at a monthly premium of only 3000 shillings.
The Silver plan offers a funeral plan of 1 Million shillings and a hospital cash pay-out of 40,000 shillings per night of hospitalization at a monthly premium of 1000 shillings.
Among those targeted are boda-boda riders, food vendors, hawkers, and even the working class.
