Our commitments:

In 2018, Swiss Re partnered with Women’s World Banking to provide microinsurance to women in Egypt. Distributed via local financial institutions such as banks and credit unions, microinsurance is offered to women in the informal sector who have taken out loans to support their businesses. The scheme was designed to allow women and their families to shoulder the financial burden associated with illness or childbirth, without defaulting on their loan payments.

If the client or one of her immediate family members is admitted to the hospital due to illness or childbirth, she receives a fixed sum depending on the length of the stay. Not only does the lump sum protect women from loss of income during their hospitalisation, it also helps cover some of the associated costs, such as transportation to the hospital, or certain medical expenses not covered by the public health system. The woman’s family also receives a lump sum in the event of death.

As we entered the second year of the COVID-19 pandemic, many of the logistical challenges from 2020 persisted into 2021, hindering business expansion and the replication of the microinsurance programme in other countries. On-site visits had to be replaced by phone calls, making it difficult to build relationships with potential distribution partners in regions where face-to-face contact is highly valued. Microfinance institutions on the ground also struggled with business continuity as many of their own employees were unable to work from home. Reaching new customers therefore became challenging. The difficulties that local employees faced while attempting to work remotely also meant that claims – which are typically settled within one to two days – took longer to process during the pandemic.

Priorities also changed for women in the informal sector. They often needed to prioritise basic needs and household expenses over insurance. Many either avoided hospital treatment out of fear of becoming infected or were turned away from overburdened hospitals that were already at capacity due to the pandemic.

Even though the pandemic continued into 2021 and many of the same challenges remained, Women’s World Banking has now reached 397 792 customers in Egypt.

Additionally, Women’s World Banking and Swiss Re are still working to expand the scheme to other countries and to improve its distribution process. Internal analysis and workshops revealed that the initial contract length of two years was daunting for many distribution partners who did not want to commit to long timeframes and uncertain outcomes. As a result, Women’s World Banking is now working with a more modular approach to designing and launching new products. After an initial market analysis focusing on how lower income populations access health services and the types of insurance and distribution options available, Women’s World Banking and the distribution partner design a pilot project to test a new microinsurance product. Following the test period, the product is evaluated and adjustments are made before being launched. Not only does the pilot approach reveal the feasibility of the project early on, it also allows the partner to shape and appreciate the value proposition of microinsurance first hand.

Swiss Re and Women’s World Banking remain committed to reaching 2 million customers by 2023. Additionally, the Swiss Re Foundation has supported Women’s World Banking by providing funding for the hiring of full-time employees who work on product development.