Microinsurance Client Satisfaction Study: Zambia

This paper presents findings and recommendations of a study that measured client satisfaction with microinsurance products and services. The study reviewed funeral insurance schemes offered by two MFIs, namely, Christian Enterprise Trust of Zambia (CETZAM) and Promotion of Rural Initiatives and Development Enterprises (Pride) Zambia. The MFIs offered products through a partner-agent model with two local insurance companies, namely, Madison and NICO. The study explores client satisfaction in relation to product coverage, accessibility, timeliness and product appropriateness. The results provide insights into clients perception of insurance and their relative satisfaction with the products under review. Study findings include:

• Poor people are concerned with the manner in which services are sold or provided to them;
• CETZAM clients complained that credit officers did not clearly explain the insurance products before they collected premiums;
• Poor people  are desperate for more inclusive financial services that meet their needs;
• Clients from both institutions expressed demand for health insurance;
• Potential resistance to insurance against death, resulting from traditional values should not be ignored;
• CETZAM clients felt that insurance companies should be involved in client education on insurance.