Lack of insurance demand is one of the most important obstacles for the development of responsible inclusive insurance markets. In managing risk, the unserved and underserved population generally do not know which risk management tools – such as insurance – exist, and they do not trust the insurance sector. This has an important impact on the willingness to buy and renew insurance products. Although first-hand experience with insurance products is the most effective tool to increase insurance awareness, risk management and insurance awareness programmes also play an important role to confront the demand challenge.
This consultation call took place on Thursday, 18 July 2019. Supervisors on the call were provided with insights and country examples on how they can encourage cost efficient and impactful financial education programmes that promote risk and insurance awareness. In particular, during the call, the following questions were answered:
- How do the promotion of risk and insurance awareness fit together?
- How do you ensure that risk and insurance awareness programmes have an impact?
- How do you ensure that risk and insurance awareness programmes will be sustainable and available over time and who should pay for them? How do you create intelligent public-private partnerships?
- What is the difference between financial education, marketing and the insurers' disclosure obligations? What is the role of the supervisor?