The Insurance Commission (IC) has exceeded its target of providing insurance cover to millions of Filipinos, the bulk of whom remain without protection from natural or man-made disasters.
Latest data show microinsurance cover has been extended over 29.03 million of the 101.8 million Filipinos as of the third quarter of 2015.
This translates to a penetration rate of 28.52 percent, exceeding the 27-million mark set for the year.
This was shared by Insurance Commissioner Emmanuel F. Dooc at the Third South Asian Regulators’ Meet & International Insurance Conference held on May 12 and 13 in Kathmandu, Nepal.
“Through our initiatives in fostering inclusive insurance markets, we have again emerged as a model for microinsurance promotion in Asia with 29.03 million Filipinos covered with microinsurance as of the third quarter of 2015, surpassing our own commitment to cover 27 million Filipinos by 2016,” Dooc said in his speech.
He added that the market will make available new microfinance frameworks for agriculture, health and the preneed sectors.
An index-based microinsurance system has been introduced for the micro-agri sector, where benefits are extended when predefined indices are breached. This was a framework adopted in October last year.
The micro preneed framework, on the other hand, aims to provide the low-income sector access to preneed products as memorial, education and pension plans.
A micro-health insurance framework was adopted to address the health needs of the general population, particularly the low-income and informal sectors.
“The Philippines remains aggressive in its campaign for inclusive economic growth, as greater efforts and genuine programs should be delivered to those who have not yet risen from poverty,” Dooc said.
Dooc was also elected first chairman of the Mutual Exchange Forum on Inclusive Insurance (MEFIN Network), which brings together insurance regulators and the private sector from six areas.
The network is a platform for the jurisdictions to share views on how to go about the development of inclusive insurance.
The countries included are the Philippines, Indonesia, Vietnam, Mongolia, Pakistan and Nepal. Its first Regional Steering Committee meeting will be in July 2016 in Manila.
“As the Philippines continue to take pride for being at the forefront of promoting microinsurance as an effective vehicle for financial inclusion and as a benchmark for other Asian countries in terms of microinsurance market development, we are fueled to keeping our markets strong, stable and sustainable,” Dooc shared.