Low-income populations and micro-entrepreneurs face a constant barrage of financial shocks, from medical emergencies and natural disasters to crop failures and property loss. Lacking a safety net, a single unexpected event can wipe out years of savings and plunge a family deeper into poverty. While traditional insurance is often inaccessible due to high premiums, complex products, and inconvenient processes, microinsurance has emerged as a vital tool for building resilience and stability. However, designing effective and sustainable microinsurance products requires a fundamental shift in approach, focusing on affordability, simplicity, and innovative distribution methods that meet clients where they are.

This course is designed to equip you with the strategic mindset and practical skills needed to design, implement, and scale innovative microinsurance solutions. We'll explore cutting-edge models that leverage technology like mobile phones, satellite imagery, and behavioral economics to create products that are not only financially viable but also genuinely valued by clients. By understanding how to address the unique challenges of this market, you will be able to create products that provide a true safety net, helping communities manage risk and secure their financial futures.

Duration: 5 days

Target Audience:

• Insurance and microinsurance professionals
• Microfinance institution (MFI) staff
• Product managers and designers in FinTech
• Development and humanitarian aid practitioners
• Policy and regulatory advisors
• Social entrepreneurs and startup founders
• Financial inclusion researchers
• Actuaries and risk analysts
• Managers of community-based organizations

Objectives:

• Master the foundational principles of microinsurance and its role in financial inclusion.
• Understand the unique risks and needs of low-income populations.
• Apply a human-centered design approach to product development.
• Grasp the core components of a viable microinsurance business model.
• Explore innovative distribution channels, including mobile-enabled platforms.
• Learn to price microinsurance products affordably and sustainably.
• Identify and mitigate key risks for microinsurance providers.
• Design and implement a robust claims and grievance mechanism.
• Understand the role of technology in product innovation.
• Analyze case studies to learn from successful and failed projects.

Module 1: The Foundations of Microinsurance

• Defining microinsurance and its key characteristics
• The distinction between microinsurance and traditional insurance
• The role of insurance in building resilience and managing poverty
• Different types of microinsurance products (e.g., health, life, property)
• An overview of the global microinsurance landscape

Module 2: Client Needs and Behavioral Insights

• Understanding the risks faced by low-income individuals
• How the poor currently cope with risk
• The influence of behavioral biases on insurance uptake
• Applying insights from behavioral economics
• The importance of consumer education and trust

Module 3: Product Design for the Underserved

• A human-centered design approach for microinsurance
• Designing simple, clear, and easy-to-understand policies
• Balancing product simplicity with adequate coverage
• Tailoring products to meet specific client needs
• The role of flexible premiums and payments

Module 4: Innovative Distribution & Partnerships

• The limitations of traditional insurance agents
• Leveraging mobile network operators and FinTechs
• Partnering with MFIs and community-based organizations
• The importance of an effective agent network
• Using technology to reach remote populations

Module 5: Pricing and Actuarial Soundness

• Key pricing principles for microinsurance
• The challenge of limited data for actuarial analysis
• Designing products that are affordable and financially viable
• The role of subsidies and cross-subsidies
• Techniques for premium collection

Module 6: Claims Management & Customer Service

• The importance of a rapid and transparent claims process
• Designing a claims process that works for clients
• Leveraging technology for claims submission and verification
• Handling client grievances and disputes
• The link between claims service and customer loyalty

Module 7: Risk Management for Providers

• Key risks for microinsurance providers (e.g., adverse selection, fraud)
• Strategies to mitigate moral hazard and adverse selection
• Managing correlation and catastrophic risk
• The role of reinsurance
• Building a fraud detection mechanism

Module 8: Technology & Product Innovation

• The role of mobile technology in the value chain
• Using data analytics for product design and pricing
• Index-based insurance powered by satellite imagery
• The potential of blockchain for claims and transparency
• Insurtech models and their impact on microinsurance

Module 9: The Regulatory Environment

• The purpose of microinsurance regulation
• Key regulatory principles for protecting clients
• Balancing innovation with consumer protection
• The role of regulatory sandboxes
• Navigating policy and advocacy efforts

Module 10: Launch, Scale, and the Future

• Developing a pilot program and go-to-market strategy
• Scaling an innovative microinsurance product
• Measuring social and financial performance
• The future of microinsurance in a changing world
• The integration of microinsurance with other financial services

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 7 working days before commencement of the training.