IPEC takes insurance and pensions to communities ahead of Insurance Awareness Day

IPEC takes insurance and pensions to communities ahead of Insurance Awareness Day

By Insurance24

HARARE, There’s something that most people don’t talk about, don’t think about, and when the end comes it snaps right around and hits them square in the face. Their homes and cars remain unprotected, and there’s nothing to save them when the hammers comes down. Insurance Awareness Day reminds you that taking the time to talk to an insurance agent and get a policy on your life, car, or home can save you and your family at the worst times the future holds.

This year’s Insurance Awareness Day will be held on the 28 June 2018. In that regard, the Insurance and Pensions Commission of Zimbabwe (IPEC) has already struck the right code, taking the awareness to selected areas of the country that include the rural populace ahead of the day.

The main agenda is to spread awareness on insurance and pensions, a move that will go a long way in de-mystifying Insurance as a cost or luxury.  According to IPEC spokesperson, Loyd Gumbo the road shows will also be attended by various industry associations and companies that will also take time to engage and share information with the communities.

This Friday, the awareness campaigns are in Murehwa, which is in Mashonaland East Province. Others are slated for Mount Darwin and Gweru on June 16 and 30 respectively.

In Zimbabwe, like many other African countries, insurance penetration rates are still low as people continue to have negative perceptions on insurance.  Zimbabwe’s scenario is made worse by the loss of savings and insurance as a result of the dollarization of the economy in 2009.

Government has since moved to correct the anomaly through the Commission of Inquiry on the conversion process and has since made recommendations which also involve compensation, but the industry is yet to accept the position, thus the issue remain largely the same.

According to the 2014 FinScope Consumer Survey only 30% of the Zimbabwean population was insured showing low uptake of insurance products. But with 2014, being a few years back, quite a number of initiatives have evolved, resulting in improved uptake of insurance covers.

Only 9% out of a total population estimated at around 14 mln Zimbabweans, which translate to only about 1.3 mln are insured on health insurance and Medical aid covers with membership mainly coming from formal sector.

Additionally, through the micro-insurance framework, the Insurance and Pensions Commission (IPEC) set a target of the insurance penetration ratio to at least 4% by end of 2018 from the current 3.6% also on the back of new socio-political dispensation driven economic growth.

History of Insurance Awareness Day
Insurance is an incredibly interesting topic, especially when you realize just how old this form of protection really is. We had thought it wasn’t any older than a couple of hundred years, but we couldn’t be more wrong. It actually has a history stretching back far into the past, with the earliest known versions of it being found in 3000-2000 BC. Insurance has been around so long it’s even found inscribed on the Code of Hammurabi, the first written laws. Imagine that! It even predated what was considered the official foundation of law, that’ssome history.

Insurance, as we think of it in the modern age, came into existence sometime around the Great Fire of London, where the devastation that took place brought about the idea of property insurance. While insurance had up to this point had been considered some kind of convenience, it was now clear to the inhabitants of London that insurance was something that could protect a family fortune, and indeed an entire estate in the event of disaster.
From there sprang all the forms of insurance we know today, including underwriting ventures in the event of failure (common in the age of sailing ships and questionable seas), to car insurance and life insurance. Insurance Awareness Day celebrates the history and necessity of this fantastic invention, and encourages people to understand the important role it can play in their lives. 

How to Celebrate Insurance Awareness Day

The best way to celebrate the auspicious Insurance Awareness Day is to get in and talk to an insurance agent that can discuss all the various types of insurance that can protect you and your family. Car insurance ensures that when your vehicle gets crumpled in a wreck, it can easily put you back on the road and able to get to work. Supplemental insurance (like the one advertised by that duck) makes sure that injuries and the like are covered, and home insurance protects you (even if you rent) from the damages of fire and accident. These are just the tip of the iceberg!   (outsourced)