AYo, which is a joint venture between two South African firms, insurer MMI Holdings and the MTN (Mobile Telecommunications Network) Group, recently launched its first two products, both in Uganda: (1) Recharge with Care, which provides life and/or hospitalization insurance when an MTN phone subscriber buys airtime; and (2) Send with Care, which delivers the same offerings when a user sends money via MTN.
Recharge with Care offers 30 days of free coverage with each purchase of airtime. The amount of coverage depends on the size of the purchase, and the user can increase the coverage amount with additional payments. The policy pays the user if he or she is hospitalized overnight and pays the user’s beneficiary if the user dies. Send with Care provides similar coverage, with the payout amount equal to the amount of money transferred via MTN.
As of 2017, MTN Group has operations in 23 countries in Africa and the Middle East as well as Cyprus. As of 2016, it reports 233 million users and total assets of ZAR 283 billion (USD 18 billion).
As of 2016, MMI reports a market capitalization of ZAR 36 billion (USD 2.3 billion).
Sources and Additional Resources
MTN Uganda: Recharge with Care
MTN Uganda: Ayo Uganda Launches with Two Mobile-based Micro-insurance Products
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