Professional Insurance Corporation Zambia Plc has launched a new micro insurance product known as “Muende Bwino” aimed at providing the travelling public with a safety net against some of the losses that come about as a result of accidents.
Speaking at the launch, Professional Insurance Managing Director Geoffrey Chirwa says micro insurance coverage is an important safety net for low income households which provide a tool to protect the public asset including human life.
Mr. Chirwa says micro insurance offers a promising alternative for the poor to manage risks and use their assets more productively.
He however, notes that the challenge has always been for insurance companies to create micro insurance products that meet the needs of the poor, keep premiums affordable and minimize operating costs all at the same time.
Mr. Chirwa says micro insurance is recognized as a useful tool in economic development as many low income people do not have access to adequate risk management tools and are vulnerable to fall back into poverty in times of hardships.
He explains that the decision to come up with Muende Bwino insurance cover comes in the wake of increased accidents in the country.
He says it is hoped that the product will help the low income households to manage injuries and deaths as a result of road accidents.
And speaking earlier, Zambia Medical Association President Aaron Mujajati says the product is important in a number of ways.
He has since commended Professional Insurance for coming up with such a product as it will make a difference in the low income households.