LICI introduces fortnightly mobile wallet premium payments

Good news for insurance customers — Life Insurance Corporation of India (LICI) now allows premiums to be paid fortnightly through mobile wallets, making it easier for workers without salary deduction facilities to invest.

The new option is available via MPaisa and MyCash and targets salaried individuals, taxi drivers, market vendors and small business people who prefer to save smaller amounts regularly.

LICI Fiji Operations general manager Pradeep Shenoy said most of their clients were salaried workers.

“For LICI, our market is to the extent of 85 per cent salaried individuals, wherever they may be working,” Mr Shenoy said.
“If they are getting a regular salary on a fortnightly basis, they are very comfortable to save $10, $50, $100 from their salary.”

He explained that the new fortnightly facility gives workers more flexibility.

“Suppose a person is getting say $1000 salary, there is no facility of premium being deducted from salary. However, he can pay premium on a fortnightly basis through MPaisa or MyCash,” Mr Shenoy said.
“He is getting salary on a fortnightly basis, he can pay $50, $100 directly also.”

The company is also targeting non-salaried workers seeking regular investment options.

However, Mr Shenoy noted that reaching customers in remote areas remained a challenge.

“For us, the challenge is our agents are not in a position to reach out to remote locations, the maritime islands, the remote places, rural areas,” he said.
“Reaching out to them itself is a challenge for us. For us, that is a bigger challenge rather than the competition from other companies.”