Inclusive insurance: definition

Inclusive insurance is a non -profit offer for the most vulnerable populationswhich are not necessarily able to cover yourself with conventional insurance.

In other words, it reflects a desire to make the insurance offers accessible to a part of the population which does not ensure or little, whether for lack of financial means, because of a situation of non-assarability or a poor knowledge of risks.

Inclusive insurance applies to many areas, from civil liability insurance to damage insurance, including mortgage loan insurance and car insurance.

What are the objectives of inclusive insurance?

Protect vulnerable

The most vulnerable people are exposed to risks that can have serious consequences, while engaging their own responsibility. The subscription of inclusive insurance is therefore part of a process of social progress, aimed at making available to the most fragile of suitable protections, with a zero margin.

Offer affordable prices

Populations living below the poverty line to the middle class classes, inclusive insurance is aimed at a wide range of people who are unable to cover themselves in the face of the vagaries of daily life.

Due to their personal and professional living conditions, Low -income people are particularly exposed to risks. In the absence of satisfactory social protection, they are also the most inclined to sink into precariousness. Subscribing inclusive insurance at affordable prices, structured adequately, can help them better manage these risks.

Moreover, It allows fragile people to benefit from advantageous ratesin line with their financial and material resources. What to offer everyone, without exception, suitable insurance and social protection coverage, but also a better customer experience.

This phenomenon also concerns business creators, for which the high cost of insurance contracts is sometimes prohibitive. So, Many micro-entrepreneurs find themselves in a situation of fragilityfor lack of coverage suitable for their professional activity. Situation which can have disastrous consequences in the event of a claim …

Ultimately, introduce more inclusiveness in insurance markets promotes entrepreneurial activity while strengthening the most modest household resilience, thanks to fairer pricing.

Fight against insurance exclusion

According to the National Interministerial Road Safety Observatory (ONISR), 800,000 people would run without insurance in France and most of them are people with modest income.

A worrying figure that illustrates the problem of Insurance exclusion. Malussian and multi-convenient people, subject to contract terminations on the part of insurers, can then turn to inclusive insurance, in order to protect themselves legally.

Inclusive insurance also makes it possible to combat any form of discrimination, especially for health reasons. Refusal, exclusions of guarantees, surprises … For some people, accessing borrower insurance is a real obstacle course. Hence the interest of proposing more inclusive contracts, which can be taken out without medical selection.

Finally, we see complementary solidarity health contracts emerge, whose contribution rates are identical, regardless of the state of health of the insured.

Some examples of application of inclusive insurance

Money transfer

In 2020, the AXA insurance company announced the launch of a partnership with Western Union, a leader in cross -border money transfers. Objective displayed: Provide Western Union users affordable insurance productsin order to better cover migrant workers, but also their families in their country of origin.

The proposed insurance offer includes a death guarantee and a total permanent disability guarantee. In the event of an accident, a capital of € 1,000 is paid in one time to the beneficiary designated by the insured.

To benefit from it, the only conditions to be fulfilled are as follows:

  • Fill and sign an online membership request
  • Be aged 18 to 64
  • Be taxually domiciled in mainland France
  • Having made a transfer of money from France to one of the countries defined by Western Union: Senegal, Côte d’Ivoire, Madagascar, Morocco, Cameroon, Togo, Republic of Congo, Mali, Benin, Guinea.

Credit

In order to protect small farmers from financial loss linked to natural disasters, the Luxembourg NGO Ada offers loans for the purchase of seeds, combined with inclusive insurance products, like affinity insurance. Thus, subscribers are premily against floods, drought and other climate risks.

With conventional agricultural insurance, the observation of damage caused to crops conditions compensation. On the other hand, inclusive insurance is based on public measures of precipitation and other climatic indicators. Therefore, The evaluation process is less long and less expensiveand compensation is paid more quickly.

In addition, ADA also offers insurance products allowing breeders to buy fodder for their animals during excessive rainy or serious drought.

Home insurance

When a claim occurs in housing, compensation paid by the multi -risk home insurance company (MRH) is subject to certain obsolescence coefficients. In other words, The calculation is unfavorable to the most precarious peoplewhich often occupy dilapidated housing.

However, inclusive insurance makes it possible to compensate for the shortfall suffered by the insured due to the dilapidation of the home. She therefore fills what is not compensated by conventional insurance.