Insurance Setup
Last updated
Was this helpful?
Last updated
Was this helpful?
The Insurance Configuration Module is an optional but highly valuable feature that enables your business to to offer insurance products alongside your loan services, i.e. Mobiloan facilitates the integration of credit life and voluntary life insurance premiums, provided by various service providers.
Insurance premiums are automatically linked to loan repayments and displayed as a separate field within the repayment schedule, ensuring transparency in cost allocation.
To successfully configure insurance products, users must define the following:
Policy Details: Specify the type of insurance policies available, their terms, and coverage limits.
Insurance Premium Rates: Configure the premium amounts, whether fixed or percentage-based, and how they are applied to different loan types.
Authorization & Permissions: Determine which policies apply to specific loan products, client categories, and user roles authorized to manage insurance settings.
To configure insurance policies , select an existing policy from the table to edit or click the “+” icon to create a new insurance policy.
The first step is selecting a suitable insurance provider. Assuming you have already conducted preliminary research, we recommend initiating an inquiry or consultation with an insurance policy agent to gather specific details, requirements, and API credentials.
Once you have obtained the necessary information, you can proceed with the integration by selecting the appropriate service provider and filling in the required fields specific to that provider.
While each insurance provider may have unique requirements, Mobiloan follows a structured approach to policy integration.
To assist with this process, we have documented a general outline of the fields typically required for Mobiloan’s insurance integration. However, it is essential to discuss these details directly with your chosen insurance provider to ensure a smooth and compliant setup.
Item
Description
Service Provider
Select the registered Financial Service Provider (FSP) offering the insurance product.
Policy Name
Enter the name of the specific insurance policy linked to the loan. This should match the official policy issued by the FSP.
API Username
Input the API username provided by the FSP for system integration, allowing secure communication between the insurance system and your platform.
API Password
Input the corresponding password for the API username, enabling secure access to insurance-related services.
FSP Appointed Intermediary
Select the intermediary that has been appointed by the FSP to handle this insurance policy. This is mandatory for compliance with South African FICA rules.
FSP Representative Name
Enter the full name of the FSP’s representative responsible for managing this policy. This person must be an accredited representative under FAIS regulations.
FSP Representative Email Address
Provide the official email address of the FSP representative for any communication regarding the policy.
Credit Life Commission Percent
Input the percentage of the premium that constitutes commission for the FSP due to the provision of credit life insurance.
Voluntary Life Commission Percent
Enter the percentage of the premium related to the commission for voluntary life insurance policies. This relates to non-mandatory insurance on the loan.
Unlock Setup
This workflow is designed to be configured exclusively by the FSP Administrator therefore Mobiloan enforces this restriction by requiring the FSP Admin to unlock these settings using the admin password - which should have been issued in private to the FSP administrator.
In this step, configure the parameters used to calculate premiums for both credit life and voluntary insurance. The settings include:
Credit Life Premium per R1,000 of Capital (Rate D)
Voluntary Life Premium per R1,000 of Capital (Rated)
Fixed Monthly Premium for Voluntary Insurance
Minimum and Maximum Loan Capital (the range on which premiums are charged)
Minimum and Maximum Eligible Age for Voluntary Insurance
Other Options Include:
Using a fixed credit life premium
Calculating a pro rata premium for partial months (i.e., determining the premium amount for the remaining days of a month)
This step involves configuring the lending parameters tailored to your subscription. These rules are determined by your FSP administrator, who can advise on the optimal configuration.
Please note that rule configuration is currently available only for the following service providers: Groups R US, Bengil, Guardrisk, and Universal Insurance.
Each provider has its own requirements:
Groups R US: Offers a dedicated import rules function that automatically loads the specific branch rules via an API.
Bengil and Guardrisk: Require you to select a voluntary plan option (Bronze, Silver, Gold, or Platinum) in addition to setting custom parameters for both voluntary and credit life insurance.
Universal Insurance: Provides fields for directly editing and customizing credit life and voluntary insurance settings.
Ensure you consult with your FSP administrator for guidance on setting these parameters based on your specific subscription.
In this step, the user must assign the appropriate permissions for the current insurance policy.
The available permissions and their descriptions are outlined below:
Item
Description
Authorized Loan Frequencies
Select the loan types for which this insurance product is authorized.
Authorized Branches
Choose the branches that are permitted to process transactions for this insurance product.
Authorized Loan Products
Select the loan products that can be associated with this insurance product.
Authorized Categories
Identify the client categories eligible for this insurance product.
If the user has an Amplifin subscription with payment allocation enabled for the branch code and wishes to automate the allocation process to the insurance service provider, they can configure the following settings.
Branches Authorized for Payment Allocation Select the branches that are authorized to receive payment allocations for insurance products. You can assign individual branches or apply the settings to all branches. (This setting is reserved for FSP Admins.)
Amplifin Credit Life / Voluntary Life AET Branch Code Enter the branch code associated with the Amplifin credit life or voluntary life insurance product. (This setting is reserved for FSP Admins.)
Contact Amplifin Support for more information on this feature. This automation eliminates the need for bulk monthly payments to the insurance provider by directly apportioning premiums to the voluntary life and credit life branch codes from the debit order.
Once you press save, the new insurance policy will be available in Mobiloan, and you'll see live premium amounts in the repayment schedules for the loans that qualify for insurance.
