TNM Mobile Insurance (Moyo Cover)

The TNM Insurance dubbed (Moyo Cover) was a life insurance policy offered as a bundled add-on to prepaid mobile phone subscribers of TNM, a mobile operator in Malawi with over 3 million subscribers. The product aimed at increasing customer retention and average revenue per user (ARPU).The product targeted at TNM customers, who tend to be on the lower end of the market. The project also aimed at keeping the customers from switching to other providers in Malawi.

The product offered life insurance for the subscriber and one family member (spouse, child, sibling or parent; ages 18-75) of their choice, with cover increasing in proportion to airtime usage for all services provided on the TNM network. The product was sold on an opt-in basis for “free” over USSD channel.  The amount of free cover will be based on the customer’s usage of airtime on the TNM network during the previous month.  The resulting total cover level would be in force for the following calendar month. The product had a 1-month term which was automatically renewable.

The project which ran from 2013 to 2016 registered and covered over 500,000 lives with this innovative insurance product. TNM managed to achieve its objectives which were to reduce the number of clients switching to other networks and there was an increase in ARPU (average revenue per user).

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