Non-profit association commends Philippine insurance industry for advancing financial inclusion
The Philippine insurance industry has been making great strides in advancing financial inclusion in the country, and a non-profit association has commended the efforts of the industry. In a recent statement, the Microinsurance MBA Association of the Philippines (MiMAP) lauded the efforts of the industry players in offering microinsurance products and services to low-income families and small businesses.
MiMAP, a non-profit organization dedicated to promoting microinsurance as a means of financial inclusion, noted that the Philippine insurance industry has been actively promoting microinsurance products and services, which has helped increase the number of Filipinos with access to financial protection.
Microinsurance is a form of insurance that is designed specifically for low-income families and small businesses. It provides financial protection to these groups by offering insurance products and services that are affordable, easy to understand, and tailored to their specific needs. Microinsurance products can cover a wide range of risks, including health, life, property, and agriculture.
According to MiMAP, the Philippine insurance industry has been at the forefront of promoting microinsurance in the country. It has launched various initiatives and programs aimed at increasing the awareness and uptake of microinsurance among low-income families and small businesses. These initiatives have included partnerships with microfinance institutions, community-based organizations, and government agencies, as well as the development of innovative distribution channels, such as mobile insurance and online platforms.
One of the key players in the Philippine insurance industry’s efforts to promote microinsurance is the Insurance Commission, the regulatory body for the insurance sector in the country. The Insurance Commission has been working closely with industry players to develop policies and guidelines that support the growth of microinsurance in the country.
In its statement, MiMAP also commended the Insurance Commission for its efforts in promoting microinsurance. It noted that the Commission’s initiatives, such as the creation of a dedicated microinsurance unit, have been instrumental in driving the growth of microinsurance in the country.
The growth of microinsurance in the Philippines has been significant in recent years. According to the Insurance Commission, the number of microinsurance policies issued in the country increased from 16.7 million in 2014 to 40.5 million in 2020. This represents a growth rate of over 140% in just six years.
MiMAP believes that the growth of microinsurance in the country will continue, driven by the increasing demand for financial protection among low-income families and small businesses. The COVID-19 pandemic has highlighted the need for such protection, as many Filipinos have been hit hard by the economic impact of the pandemic.
MiMAP also believes that the Philippine insurance industry can do more to promote financial inclusion in the country. It has called on industry players to continue to innovate and develop new products and services that are accessible and affordable to low-income families and small businesses. It has also urged the industry to work closely with government agencies, NGOs, and other stakeholders to promote financial literacy and awareness among Filipinos.
In conclusion, the efforts of the Philippine insurance industry to promote microinsurance and advance financial inclusion in the country are commendable. The growth of microinsurance in the country is a testament to the effectiveness of these efforts and the increasing demand for financial protection among low-income families and small businesses. However, there is still much work to be done, and industry players must continue to innovate and collaborate with other stakeholders to ensure that all Filipinos have access to the financial protection they need.
