Banks upbeat of insurance penetration through partnership

Some players in the banking industry have indicated of their plans to expand their operations with insurance companies to increase penetration in the insurance market.

According to them, the slow growth in the sector is largely attributed to the inconvenience customers go through in signing up for the policies.

In an interview with Citifmonline, Regional Consumer, Banking Head of Ecobank Ghana, Tara Squire, said banks are gradually bridging the insurance gap with the aid of technology in partnership with insurance companies.

“I think at the end of the day providing insurance via our digital channels brings insurance closer to the customer’s finger tips and also for us to ensure that we have a rich range of products; that we have a variety on the market to meet the needs of customers,” he noted.

He stated that collaborations between institutions will enable economies of scale, hence reduce cost. “Collaborations like the one between Ecobank and Alliance Insurance will certainly help insurance products sell quicker.”

The policy which offers motor insurance is designed to offer customers a wider convenience in terms of coverage and limits within the Road Traffic Act in Ghana.

The product covers motor third party related liabilities and further allows customers to upgrade to the All Risks cover otherwise referred to as motor comprehensive. The policy also covers injury and death to third parties such as such as occupants to in vehicles that have been insured among other things.