Janashakthi partners Hannover Re and Planet Guarantee

Sanjeevi JAYASURIYA

Janashakthi Insurance entered into a partnership with Hannover Re and Planet Guarantee to introduce a range of micro insurance products in Sri Lanka. The tie up will make available a range of insurance covers to the potential customers.

Janashakthi Insurance PLC Managing Director, Prakash Schaffter said that although micro insurance is comparatively new to Sri Lanka, the concept is very relevant at this point of time. With less than one percent of the country’s 19.4 million population covered by micro insurance, it is evident that Sri Lanka has a massive market potential in this area. Micro insurance is an ideal tool to assist small entrepreneurs in the post-war Sri Lanka, with its visible and tangible resurgence of economic activity in different spheres both at micro and macro level, he said.

The main objective of micro insurance is to protect micro enterprises against unexpected eventualities.

It is a complementary financial instrument aiming at providing the low-income population with protection against known and unknown risks.

Micro insurance is a tailor made product targeted at specific needs of the population. As the first step it will offer credit life insurance to protect the borrower. It will be followed by crop insurance to protect the farmer community and a few more will be introduced shortly.

Hannover Re Worldwide Micro Insurance Program General Manager Claude Vercasson said, “Reinsurance is insurance for the insurance companies. It is the second level of insurance.

“With our extensive experience in the field of re-insurance and our long and successful relationship with Planet Guarantee, the partnership would benefit Janashakthi Insurance”.