In October 2010, Opportunity International’s microinsurance subsidiary, MicroEnsure, launched a pilot test with the mobile network Tigo Ghana around a new product embedded into the subscriber’s airtime purchases. The more airtime Tigo customers purchase, the more free life insurance they earn for themselves and a second family member. For Tigo, this insurance has helped reduce client churn and increase airtime sales.

After the successful pilot, MicroEnsure scaled up the operation in Ghana, reaching more than 250,000 people within the first six months. As a result of this product, the agency will more than double the number of Ghanaians who have access to life insurance in 2011.

A similar product, Tigo Bima, has now been introduced to customers in Tanzania. Tigo Bima is a 30-day insurance product that protects subscribers in the event of loss of life due to accident or illness. The product is supported technically by Milvik and administratively by MicroEnsure to ensure that claims are paid within 72 hours after documentation is received.

This story first appeared in our winter 2012 Impact newsletter. Read this and more updates on our microfinance work, and our strategic partners, staff and clients in Impact by clicking here.