MTN South Africa says that Sanlam Indie’s InsurTech offering is now available to its customers.
“By harnessing the power of technology, we have made a range of financial services available to our customers anytime and anywhere. This was the obvious next step for MTN SA in line with MTN Group’s strategy of driving financial inclusion across the 21 markets it operates in, including South Africa,” said Felix Kamenga, MTN SA chief officer of MTN Mobile Financial Services.
Over the last number of years, Sanlam has invested in creating a new ‘digital first’ set of insurance solutions, called Sanlam Indie. Through this partnership, MTN said it will make this set of solutions available via its digital platforms.
The offering includes funeral cover, which automatically doubles its cover after two years at no extra cost, for example if you are covered for R50,000 per annum, Sanlam Indie will automatically double your cover to R100,000 after two years of your policy.
The InsurTech also offers various life insurance products such as life cover, income protection, critical illness cover, disability cover and death income protection. MTN customers can get quotes and complete the purchase of all these products through their mobile devices connected to the network, the operator said.
Every policy includes a free, built-in investment, called Wealth Bonus, where Sanlam matches up to 100% of the customer’s monthly premium with an additional 10% Wealth Bonus for MTN customers.
This extra 10% contribution has a material impact on the wealth builder value over time due to the compounding effect in the investment.
For example, a 24-year-old female MTN customer paying R150 per month would enjoy R1.6 million life cover (based on her profile) and a premium match of 110% (based on her age).
Every five years, she’ll be able to access 10% of her growing investment, which can either be withdrawn or left to grow until her full Wealth Bonus unlocks at age 70. Ordinarily, her Wealth Bonus would be R2.3 million at this stage, but as an MTN client, she’ll receive a Wealth Bonus of R2.8 million at age 70.
Essentially, if she passes away, her life cover will pay out, and if she doesn’t, she’ll receive a sizeable investment payout.