MTC introduces credit insurance for post-paid customers
MTC on Thursday introduced a new insurance product designed to provide credit insurance to guarantee customers honour their postpaid contract in the event of their death.
The MTC Credit Life is an insurance cover for your postpaid contract which pays off the remainder of a client’s contract in the event of their death. The cover settles the contract balance for the remaining period of the contract.
“Credit Life Insurance is a policy that is designed to pay off a borrower’s outstanding debts in the event of the borrower’s death. As the loan balance is paid off over time, the credit life insurance policy’s value drops proportionately with it, until both approach zero” states Dr. Licky Erastus, MTC Managing Director.
According to MTC, the applicant will be covered under this policy upon acceptance or renewal of a post-paid contract package, which includes a mobile device, airtime consumption, and bundled data services given by MTC.
The cover will be offered at MTC mobile homes countrywide and for customers who would like to opt
into the MTC credit life insurance cover will need to make a once-off payment – which is calculated based on the customers’ contract duration as well as their contract device cost.
The credit life is underwritten by Momentum Metropolitan Namibia. Group Chief Executive Officer of Momentum Metropolitan Namibia, Sakaria Nghikembua, the partnership with MTC provides for financial inclusion.
“We are particularly pleased to be able to partner with a reputable company such as MTC to deliver financial services to the broader Namibian population, and thereby achieving the twin objectives of financial inclusion and economic growth for Namibians,” Nghikembua said.
