Women in Insurance (WIN) MDP

Business Impact Project

Group Members

Sovashni Hefele - Sanlam

Jane MacIntosh- African Life

Swazi Mpungose- Old Mutual EB

Corinne deVilliers- Swiss Re

Rosebud Mgada- Momentum Collective Benefits

Problem StatementSouth Africa has a fairly

sophisticated financial services industry selling to a

largely unsophisticated market –

consumers need to be educated with regards to financial matters – they need to be financially literate.

This education should start at the school level.

Is the market unsophisticated?

Perceptions and misperceptions of

LSM 5-8 market (R2 500 – R5 000)

What does sophistication mean?

What is this market’s perception of our

‘sophisticated products’?

The realities of what is happening in this market

Innovative Stokvels Grocery Clubs Burial Societies

Some ‘misuse’ & misconceptions

Differing levels of knowledge & understanding.

Challenges facing the Industry

Access to financial products

Cost of products

Mistrust

Existing alternatives

Product Education

Literacy

Challenges facing the Industry

Research conducted: Current S.A. Initiatives

International Financial Literacy Initiatives

Australian landscape United States perspective

Other Industries Goldfields – HIV / AIDs Education Vodacom – Cellular technology

SA interventions- lessons learned

Government intervention

Consolidated effort

Interventions through product and brand marketing are short-lived

Literacy begins with the youth

Competency based approach

Is the market unsophisticated?

SA interventions- lessons learned

Strategic Objectives Industry Consolidation

Consumer education

Financial education for children

Professional financial advice

Objective 1:

Project Management Team

South African Competency Model

Gaps identified and communicated

0.2% after tax profits: 0.1% = centrally managed fund 0.1% = own initiatives aligned with S.A.

Competency Model

Industry consolidation

Educational campaigns

Incorporate into television programmes Media interventions

Visible and ongoing national financial literacy campaigns

Trained community leaders to provide free training to community members

Objective 2:

Consumer education

Included in television programmes for pre-school ages

Financial literacy incorporated into the school curriculum (Std Bank Foundation)

Exhibitions / presentations on Insurance & financial wellbeing at school career days

Objective 3:

Financial education for children

Professional Financial Advice

Objective 4:

FAIS compliance Assessed on the job

Campa i gns

Tra i n i n g

Time frame

2004

2005

2006

2007

2008

2009

1. Industry

Consolidation

2. Consumer

Education3. Fin educ for

children

4. Prof Financial

Advice

Project Team

SA Model

Communicate

Availability of material.

T.v.

Presentations

Spend 0.2%Norm

al

Curriculum

Assessed on the job

FAIS

Prof Financia

l

Advice

Team Learnings

Professional and personal learnings

Questions?