Hollard partners BOPEU�s investment subsidiary
Staff Writer | Wednesday March 25, 2015 10:46
The agreement, which has a term of five years, will see Hollard Botswana become the preferred provider of insurance products to the union. The union has more than 27 000 members but through its affiliated unions has a membership of over 100 000.
In terms of the agreement, Babereki, which is responsible for providing BOPEU members with access to insurance and insurance-related products, will assist the joint venture in marketing to these members. The agreement involves both Hollard Life Botswana and Hollard Insurance Botswana, meaning that members will have access to both life and short-term insurance products.
Hollard Insurance Botswana managing director Jane Tselayakgosi noted that the partnership would create opportunities for growth.
“This is a significant opportunity and one that we will be tackling with great care and respect. The deal also marks a further step in Hollard Botswana’s attempt to create sustainable alternative distribution channels for insurance, following its historical deal with BotswanaPost last year,” she said.
Last year’s deal saw BotswanaPost bringing funeral and parcel insurance products within reach of non-traditional markets. Potential policyholders can visit a BotswanaPost branch to pay their initial and subsequent premiums, as well as to receive their policy document.
With these inventive partnerships and joint ventures Hollard says it Botswana hopes to effect greater insurance penetration, but also bring inclusive and accessible financial services to all Batswana.
BOPEU Andrew Motsamai expressed optimism over these developments. “We are very excited to have found a partner that shares in our vision of creating a brighter future for our members. This agreement has been a long time in the making, but we believe that the hard work that has gone into it has already strengthened our relationship,” he said.
The partnership also includes a commitment by Hollard Insurance to provide training and skills transfer to Babereki Investments employees with a view to equipping Babereki Investments to be able to obtain an insurance license from the regulator in the future. “Hollard has always sought to embark on partnerships that create real value for everyone concerned – not only for ourselves, but for our partners and for our customers as well; we believe that this partnership between our rapidly-growing Botswana business and the great team at Babereki will bring better insurance delivery to the members of BOPEU and to the Botswana market,” added Frans Prinsloo, Head of International for Hollard.
Established in 2005, Hollard Botswana is a wholly-owned subsidiary of Hollard South Africa.