African microinsurance FinTech aYo Holdings, together with MTN and Sanlam Life has launched two innovative insurance products in Côte d’Ivoire that will contribute towards MTN subscribers enjoying peace of mind. Through cellphone recharging, two services are intended at delivering free health and life insurance to millions of individuals in the Ivory Coast. Each time users purchase airtime via MoMo, aYo Recharge+ compensates MTN MoMo (Mobile Money) users by providing free accidental hospitalization and life insurance. Customers can also use the paid-for AutoBoost feature to obtain even more coverage with every MTN airtime recharge.

“It is estimated that less than 2% of the Ivorian population currently has insurance. This is because most people think insurance is only for white-collar workers with high incomes,” CEO of aYo Intermediaries Cote d’Ivoire Limited, Jean-Charles N’Gotta, said.

Each time a client sends money pays utility bills, or pays school fees via MTN MoMo, aYo Kash provides coverage for illness and accidental hospitalizations, as well as life insurance. Customers who use MTN MoMo to make a person-to-person money transfer or pay a bill to receive illness coverage equivalent to the amount spent in that transaction, as well as accident and life coverage for three times the amount transacted, for a 5% fee. They obtain life cover for twice the amount transacted when they pay school tuition with MTN MoMo by paying a 2% premium. The major insurance companies, which primarily target white-collar workers, control the majority of the country’s insurance market. Smaller businesses must increase adoption among lower-income earners and build new markets to survive in this field.aYo started operating in Uganda in January 2017 and has since grown to over 14 million users in Uganda, Ghana, and Zambia. Over $1 million in claims have been paid by the company.

“Insurance, and the peace of mind it provides, has become more important than ever in today’s fast-paced world, where risks are a part of our daily lives. You never know when you will have to pay to get back on your feet after an accident or an illness. Often, the cost is so large that it goes beyond your immediate financial capacity, and that is where aYo and our innovative products will be most helpful,” said Jean-Charles N’Gotta.

Signing up, interacting, and claiming are all done through the aYo progressive web app, so no physical documentation is required. The relevant documents can be attached and provided over WhatsApp when filing a claim. Few Ivorians have insurance; according to Jean-Charles N’Gotta, CEO of aYo middleman Cote d’Ivoire Limited, the figure is less than 2%. If so, if properly addressed, this could be a highly promising market.