Zampost and Professional Insurance seal deal
The service will be offered through a micro-insurance product (BantuBonse life plan) targeting mainly low to medium income earners.
Meanwhile, Government has amended the Postal Service Act under which the postal administration of Zambia was formed, to promote the growth of the postal sector.
Professional life Assurance Limited managing director Rajagopal Krishnaswamy said the partnership will offer an opportunity for customers to have access to the insurance cover that provides financial protection in the event of death for a sum of K750,000.
Mr Krishnaswamy was speaking during the official launch of the Swiftcash-life Assurance service in Lusaka on Wednesday.
“We are aware that the informal sector workers typically have no access to formalised social protection, it is for this reason that we have partnered with Zampost who will be offering free life insurance cover to all their Swift- cash customers by embedding our product BantuBonse.
“Through this partnership, anybody can have access to the product just by sending money through Swift-cash .Imagine someone sending K100, 000 and getting free life cover of K750, 000,” he said.
He said there is urgent need to invest in sustainable programmes that will leave a legacy and empower communities through financial inclusion.
At the same function, Ministry of Transport, Works, Supply and Communication permanent secretary Muyenga Atanga said the new Postal Act number 22 of 2009 allows the postal administration to venture into other non-traditional business activities such as banking and other financial and services.
“Government has instituted a number of measures and put in place necessary legal and regulatory frameworks to facilitate the transformation of the postal and courier industry,” he said.
Mr Atanga commended the two companies for liaising to provide life insurance services to Swift-cash customers, saying the move will attract more customers.
He said Government will support competitiveness and diversification of the postal business portfolio aimed at improving efficiency in the sector.
Earlier, ZAMPOST board chairperson Elizabeth Kachamba said the corporation has introduced a system where customers will have unique account numbers that will allow them accumulate bonus points each time they send money through Swift-cash.
“The bonus points are converted for 10 percent price discount, a free post bus voucher or an EMS voucher,” she said Mrs Kachamba said the money transfer services runs online and is available at every post office currently serving about over 200,000 customers with helping to turn around over K40 billion within Zambia per month.