Last week Vodacom was awarded a long term insurance licence by the Financial Services Board (FSB). This news comes after it was given the go ahead to sell and underwrite short term insurance products earlier this year. A spokesperson said products had not yet been finalised but Vodacom said it is looking at providing a full suite of insurance products relevant to its customers.
Vodacom said it will be able to leverage the direct links it has with over 30 million customers and dramatically reduce the costs traditionally associated with acquiring and serving customers. It claims that these savings will enable it to extend greater value to its customers.
“Our insurance business proposition is simple; we are focused on providing Vodacom customers with unbeatable value. Our customers will benefit from the value and convenience that we are able to offer. The vision is to dissolve the barriers to entry for all South Africans previously unable to access insurance products,” said Mark Taylor, managing executive of Vodacom Financial Services.
Vodacom appointed direct life company Frank.net, which is owned and capitalized by Liberty Holdings, to provide administrative and claims support for its long term insurance offering.
“Frank.net is a good fit for us. The company has a proven track record in the long term insurance industry with the latest technology platforms and innovative ways to provide an excellent customer experience. We are excited about the depth of experience that Frank.net will bring and believe that they will provide excellent service that our customers expect,” added Taylor.