Insurance education – The VimoSEWA Experience

Self-Employed Women’s Association (SEWA)

SEWA - A trade union of 1.1 million women workers in the informal sector,

across 9 states of India.

SEWA’s MAIN GOALS• Full Employment

• Work Security• Income Security• Food Security• Social Security

• Self- Reliance

SOCIAL SECURITY:

• Health Care• Insurance• Child Care• Housing

The Need for Insurance at SEWAThe Need for Insurance at SEWARISK:

The poorest of women and their families face the most severe and frequent risks

Shocks lead families into greater poverty

Indebtedness largely linked to illness

In response to members’ demands, VimoSEWA established in 1992

Specific Needs of our Members

• Life• Health• House and Assets (including micro enterprises)• Accident• Rainfall (Crop)

Current membership:Women: 65,815Men: 30,731Children: 22,364Total: 118,910

VimoSEWA’s Basic Scheme

Women (Rs)

Men

(Rs)

Children

(Rs)

Premium 175 125 100

Life 10000 10000 -

Health 2000 2000 2500

House 10000 - -

Accidental death 40000 40000 -

Annual Family Premium : Rs. 400 or about US $ 9

MarketingMarketing VimoSEWA VimoSEWA

1. Need-based, affordable products – bundled and unbundled– stand-alone health product– savings – linked product

2. Quality service – including cashless

3. Incentive-based “aagewans” (local insurance promoters)

4. Engaging non-SEWA insurance agents.

MarketingMarketing VimoSEWA VimoSEWA

5. Claims distribution in public meeting

6. Intensive contact – individual, group meetings (including “gram sabha” – village meeting).

7. Marketing with other MF products and health care.

8. Appropriate marketing materials.

Insurance and EducationInsurance and Education

1. Led by women, community-based – most effective

2. Education must go beyond marketing – include

financial literacy and health education

3. Insurance concepts are challenging – repeated inputs

required.

4. Education and capacity building must remain central.

5. Simple language, decentralised models – tailored to

local situation.

Challenges

1. Insurance concept – not easy to grasp

2. Reaching the poorest

3. Linking health insurance with the public health system

4. Balance between social and business objectives

5. Viability

Future Plans

• Scaling up – deepening, new areas

• Work with more MFIs, NGO partners

• Strengthening health education to reduce unnecessary hospitalisation

• Multi-state insurance cooperative

Thank you

www.sewainsurance.org