Zurich insures world’s poor

Zurich Financial Services today announced an agreement with New York based Women’s World Banking (WWB) to collaborate on microinsurance for low income people in the world’s poorest countries.

The first Caregiver insurance-based products will provide predefined benefits to clients of WWB affiliate institutions during hospitalisation.

WWB is a global network of 54 microfinance providers and banks, working in 30 countries and serving 11 million micro-entrepreneurs directly, and another 10 million indirectly through bank partners and others. Zurich and WWB aim to establish a consistent global program to help the primary caregiver in a low-income family.

Mary Ellen Iskenderian, president and CEO of WWB, says: “Insurance is a relatively new area in addressing poverty and this program with Zurich holds a lot of promise, especially for women. Women, more often than not, are the family’s primary caregiver. During a health event, there’s more than just medical expenses – lost wages, childcare, even transportation to and from the hospital – all add pressure on that household during a tough time. The Caregiver program is designed to address just that issue.”

Brandon Mathews, Zurich’s Head of Microinsurance, says: “WWB’s 30 year history of microfinance innovation and its deep customer knowledge perfectly combine with Zurich’s risk management expertise. Planning for adverse events – saving rather than investing in their businesses – may put women at a further disadvantage. Insurance is what is used to plan for such events. If we can unlock more entrepreneurial investment by low-income women while protecting them and their families against some of life’s risks, we’ll see a multiplier effect that’ll make a difference.”