Extending Reach, Digitization Crucial to Addressing PHL Protection Gap

Media Release:

THE Philippines is facing a “protection gap” in the trillions of pesos, Allianz PNB Life revealed this recently, pointing to the need to address the insufficiency of protection.

Allianz PNB Life President and CEO Alexander Grenz underlined the importance of expanding insurance companies’ reach and the digitization of data and the delivery of services in addressing the protection gap in the Philippines.

“Protection does not only mean financial services, but healthcare as well,” Grenz pointed out during the Media and Bloggers Conference announcing the partnership of Allianz PNB Life and award-winning social enterprise reach52.

Universal healthcare and protection gap

The two organizations are working together to promote inclusivity in insurance and address the protection gap in the country.

Insurance penetration in the Philippines is currently at 1.69%, and the protection gap is in the trillions of pesos. Fifty-three percent of Filipinos’ total health expenditures still come from their own out-of-pocket expenses instead of from protective insurance.

“Universal Healthcare is coming, but there is still a gap in protection. There is a willingness to buy, however, so we need to create a space for that,” reach52 Founder and CEO Edward Booty said.

Most Filipinos still rely on their savings and insurance to pay for their health services, and Covid-related insurance claims have so far reached Php326.95 million.

Allianz PNB Life President & CEO Alexander Grenz
Allianz PNB Life President & CEO Alexander Grenz.

For unserved, underserved, vulnerable people

He added that the deep sector knowledge of Allianz PNB and the innovative digital mindset of reach52 can help more people in the rural areas understand the value of insurance.

The social enterprise is working toward bringing next generation healthcare systems for the 52% of the world’s population who still don’t have access to health services. They train and employ members of rural communities in providing healthcare, put up health systems, provide mobile apps and tech platforms, and establish partnerships with both the public and private sectors.

“Allianz PNB Life is partnering with reach52 to support unserved, underserved, vulnerable people in low-income populations in rural communities across the Philippines. They are a data-driven group that will give us access to the communities,” Grenz said.

Allianz PNB Life and reach52’s partnership also signals the start of Allianz “Kaagapay”. For this project, a member of reach52 will receive Php25,000 worth of life insurance with Covid-19 coverage for a year for every purchase of Allianz Well! Its first beneficiaries will be from Pototan and Cuartero, Iloilo, two of the communities that reach52 first worked with in the Philippines.

reach52 CEO Edward Booty
reach52 Founder & CEO Edward Booty.

Meeting quality healthcare’s need

With an annual plan limit of Php100 million, Allianz Well! offers one of the highest annual plan limits in the country. It offers a second layer of protection to support other health coverages, and covers Covid-19 as well.

The company has also embarked on a digitization of its services, with its insurance products now available via its virtual selling process.

Grenz said that it is their goal to be able to issue a policy within minutes. They are ready to offer further protection to Filipino families during this crisis.

This is exactly why Allianz PNB Life developed the comprehensive coverage of Allianz Well! to meet the need of quality healthcare.

Allianz’s presence in the Philippines is backed by its strong “bancassurance” partnership with the Philippine National Bank (PNB) and a regional partnership with the Hong Kong and Shanghai Banking Corporation (HSBC) Limited Philippines. It also has 15 agency offices across the country. (✓)


Featured logo of Allianz PNB Life by SDN — Science & Digital News.

Photographs: Allianz PNB Life.

 

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