Browsing through Econet’s Financial Results for the past year makes for an interesting read. You come across interesting developments that are not necessarily publicised and it may be very easy to overlook these developments.
One such example of an interesting development is gathered from the statement below:
During the next 12 months, we will be launching auto-insurance and education insurance, both of which are expected to trigger high take-up from our customers as they will provide valuable new services into market. This is a further validation of our business models that are highly customer focused.
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The above statement was included in their statement and it is a clear sign that Econet’s empire will continue growing for the foreseeable future. Their insurtech (Insurance Technology) division is going to be in the news for quite some time over the next few months as they expand into car and education insurance.
Econet’s Insurtech business has been dependant on Ecosure thus far and judging from what Econet says about that product, there is a lot of potential for their other projects:
Through our EcoSure brand, we have increased accessibility to funeral services to the previously excluded. “Insure-tech” is our fastest growing segment with over 2.0 million beneficiaries. Its rapid adoption is testimony to the pioneering spirit of the Company in addressing the needs of our society.
Can insurance companies compete?
I think insurance companies should be worried because this is not their average competitor. Econet is different from other insurance companies in that it has a bank, a mobile money platform and a network(literally). This triple-threat has ensured that their EcoSure product races to 2 million beneficiaries in such a short amount of time.
When EcoCash was launched, the fact that steward bank was behind them also made their road to the summit of digital payments easier and best believe whatever insurance services they unveil will tie in Steward and EcoCash in some way. They have already incentivised EcoCash by offering $500 worth of life cover to people who receive their salaries using EcoCash Payroll.
History always repeats itself and they will probably offer sweeteners for you to insure your car and your child’s education with them. Remember the sweetener might not be a promotion but just being part of an end-to-end system is so seamless you’ll probably sign up.