Sanlam and MTN announced last week that they’re collaborating to provide insurance to the uninsured, with MTN focusing on growing its financial services offering and Sanlam looking to access new customers from MTN’s extensive subscriber base.
The Sanlam product range that MTN will initially make available via its digital platforms includes funeral cover and a range of life products with unique extra benefits. Sign-up will be via a digital customer-centric process using any device on the MTN network.
The products are expected to launch in fourth-quarter 2019, starting with a life product aimed at young adults in the middle- and upper-income groups. Details of the deal will be released in due course.
Speaking at the press conference announcing the venture, Sanlam Group CEO Ian Kirk said, ‘We recognise the digital imperative in insurance and clients expect this of Sanlam as Africa’s insurance leader.
‘Over the years, we’ve invested appropriately in insurance fintech. Sanlam Indie is but one example and Go Cover another. We have a great business that’s delivered innovative insurance services for more than 100 years. From humble beginnings, we’ve become the insurance leader in Africa. Working with MTN is a worthwhile proposition for both of us. MTN is a true African player and we value its success, which is great for the continent.
‘Ultimately, customers are the real winners as they’ll access new value-add solutions in funeral, and a range of risk covers, savings and investment plans. All of these are new solutions to better meet their lifestyle and service needs.’
MTN sees the initiative as a fantastic opportunity to be a part of the digital transformation and financial inclusion transformation, its Chief Financial Officer, Ralph Mupita, said. ‘We bring to this venture unique capabilities, extensive distribution, a significant customer base and the best network in South Africa.’
Jan Steenkamp, CE: Strategic Business Development at Sanlam Personal Finance, said, ‘This collaboration represents a meaningful step in introducing new technologies to create game-changing value for the increasing number of digitally astute consumers. They need easy, trusted platforms that enable them to meet their insurance needs.’