Vodafone Ghana, in partnership with StarLife Assurance Company, has launched a travel companion for its Vodafone Cash subscribers. This product insures customers against death, permanent disability and hospital fees resulting from a car, train or ferry accident.
From GHS 5.50 (US $0.97) a month, a customer is entitled to coverage worth GHS 1,500.00 (US $263.54). This includes GHS 500.00 (US $87.85) if they are admitted to a hospital, GHS 500.00 if they suffer any disability and GHS 500.00 if they should die. Customers who want more coverage can go for the GHS 39.05 (US $6.86) monthly plan for GHS 15,000.00 (US $2635.41) of coverage, including GHS 5,000.00 (US $878.47) each in case of the traveler being admitted to a health facility, suffering any disability, or dying.
While the eventualities covered by this insurance offering are certainly unpleasant and not those that travelers like to think too much about, we think this offer is a savvy way for Vodafone Ghana to increase the subscriber base of its lucrative mobile money service. Partnering with a insurance carrier enables the operator to offer an add-on to its mobile money, and given that mobile money is especially useful when traveling, a travel-related insurance product is particularly appropriate.
This travel insurance, rather than dealing with canceled travel plans, deals with the potentially far more costly problems that attend upon accidents, combining medical, disability and life insurance in one. In addition to generating revenue on its own from principal fees paid, the insurance will likely give Vodafone Cash a boost in relation to its competitors, because in order to get the benefit of peace of mind at this affordable price, one must first have subscribed to Vodafone’s mobile money service.
Ultimately, of course, in order for the offering to achieve its goals and thrive in the marketplace, the benefits must be provided in an appropriate manner and at a sufficiently high level of quality, in the event that they are needed. While of course all parties hope that there will be very few test cases, when they do happen users must feel fairly treated, or else word will spread among potential subscribers.