MTN launches funeral insurance via WhatsApp

MTN South Africa is pushing deeper into financial services, announcing on Thursday that it will offer “budget-friendly” funeral cover to South African consumers.

“Under its new Khava brand, MTN’s prepaid funeral insurance is the first of a range of insurance products designed for the local market, it said. MyMTN Prepaid Funeral Khava will cost from R75/year, the telecommunications operator said.

The insurance scheme is backed by Sanlam – and facilitated by aYo Intermediaries South Africa. The service “onboarding” process is done through WhatsApp, while collections and claims payments utilise MTN’s Mobile Money (MoMo) platform.

“From as little as R75 and no other fees, MoMo customers can secure coverage for either six or 12 months via a one-time premium payment, with benefits extending up to R20 000 under the MyLife Khava plan for individuals, and a collective sum of R33 750 for the MyFamily Khava plan, which extends coverage to family members,” MTN said in a statement.

Bradwin Roper, chief of financial services at MTN South Africa, said the collaboration between MTN and aYo South Africa “reflects a strategic step towards rendering essential financial services more inclusive and responsive to the needs of ordinary citizens”.

Telecoms operators in South Africa, including MTN and rivals Vodacom and Telkom, have begun pushing aggressively into financial services in recent years as they look to broaden their revenue mix beyond voice and data products, where margins are under pressure.  – © 2023 NewsCentral Media

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