Mr Price launches ‘simplified’ life insurance product – Life Matters
- Mr Price Money has partnered with local startup Root for its new insurance product.
- Life Matters is underwritten by GuardRisk.
- The cover ranges from R100,000 to R200,000 and can be activated immediately.
Mr. Price Money announced a new life insurance policy product called Life Matters. The new offer is being made available to existing credit card customers of Mr Price, with the Cape Town-based company Boot Root help with the infrastructure of Life Matters.
The company explains that Life Matters is underwritten by GuardRisk, which is already part of a host of Root-supported services.
As for the life insurance product itself, Mr. Price Money notes that it does not require a medical exam and that customers enroll simply by answering a limited number of questions.
He goes on to explain that depending on their needs, they will be offered cover of R100,000 to R200,000. On top of that, hedging is activated immediately, according to Price Money, with other options noted as taking 45 to 60 days.
“This product is a great example of how household names with strong brand identity and an existing customer base can extend the services they offer their customers by adding a suitable insurance product,” said Louw Hopley, CEO from Root, in a press release sent to Hypertext.
“The product was designed with Mr Price’s existing customers in mind and addresses a very real need in the marketplace. This means it can better serve its customers, while increasing revenue and operational efficiency through its existing financial services products,” added the CEO.
According to Hopley, microinsurance, as it is called, is growing globally, especially in countries like South Africa where there is a large unbanked population. These types of solutions are also designed to help people who don’t meet traditional life cover requirements or who fail the application process due to a number of personal issues.
Whether more of these kinds of solutions are offered by Mr. Price remains to be seen, but it’s clear the company is indeed growing outside of its retail context.