Visions of the Future of Microinsurance, and Thoughts on Getting There
This note takes a look at the future of microinsurance.
The paper states that "massification" —providing huge numbers of low-income people with access to microinsurance products that they perceive as valuable— is an important goal for the future, and examines achievements and innovations necessary to reach this goal over the next decade. The study consulted several top microinsurance thinkers and providers from varied specialties, geographies, and experiences, and drew insights on the future of microinsurance from their responses. Findings indicate that:
- Number of low-income people accessing microinsurance may have increased by as much as 50 percent from 2006;
- Growth in microinsurance use is partly due to new programs, and partly because of significant growth of covered lives within existing and new microinsurance programs;
- Microinsurance has become increasingly popular and as insurers learn more, they have improved product offerings, process efficiencies, and market responsiveness.
The paper states that the massified market could mean coverage by quality microinsurance products for as many as one billion low-income people over the next ten years, and that this would require many distribution and efficiency breakthroughs.
