00:00 [Music]
00:03 This January, we celebrate Micro Insurance Month.
00:07 It is a day to look at the importance of financial protection,
00:11 especially for our countrymen who are just hoping for a reasonable salary.
00:16 But what is micro insurance and how can we get this benefit?
00:22 Joining us in our service today is Insurance Commission Philippines Division Manager,
00:27 Gideon Joseph Operiano.
00:29 You may join us in our discussion.
00:32 Just post your questions or comments on our Facebook Live.
00:35 Good afternoon, Sir Gideon.
00:38 Good afternoon, Ms. Mendoza.
00:40 Okay, so Sir, first, please explain to us what micro insurance means.
00:46 What is it?
00:48 Micro insurance is a type of insurance for the low-income sector
00:54 who are paid a premium that should not exceed 7.5% of the current minimum wage of workers in Manila.
01:04 Okay.
01:05 So, say for example, the minimum wage is 610,
01:09 the premium they should pay is only up to 45 pesos in order for them to have a micro insurance.
01:16 So, 45 pesos per month?
01:19 Per day, as you mentioned.
01:22 Per day, they will pay.
01:23 Okay.
01:24 How is this different?
01:25 Aside from your mention that the value of this is lower,
01:31 how else is this different from traditional insurance?
01:35 This micro insurance is simpler for the low-income sector
01:45 and it's easy for them to understand.
01:47 It's easy to claim once there is a risk or something happens to the insured.
01:55 Okay, so you said...
01:56 So...
01:57 Okay.
01:58 This micro insurance was made to cater to those in the low-income sector.
02:08 Okay, so you said this is really designed for the low-income sector.
02:13 Does this mean that this product is only available to them?
02:20 Not necessarily, Ms. Menchu.
02:24 This micro insurance is available to all.
02:27 But this micro insurance is designed for the low-income sector
02:33 so that we can give protection to individuals or their families
02:37 who are earning less than what they should be earning.
02:41 But what are the usual requirements?
02:43 With the regular insurance, it's like you need a lot of documentation.
02:48 When it comes to micro insurance, when you avail this,
02:51 what are the usual requirements that you ask for?
02:54 Usually, this is just an over-the-counter for distributors like Cebuana Lluvillian.
03:02 You can buy this online without too many requirements.
03:07 Okay, but usually, what types of products can you avail?
03:13 Because there's life insurance, there's accident.
03:17 Are the products that are available in micro insurance the same?
03:22 The most common micro insurance product in our market is this credit life micro insurance.
03:31 This is available to an individual if he has a micro lending debt
03:39 to protect his credit once something happens to him.
03:43 And another is an accident micro insurance product
03:49 which is to cover the liability once the insurance is accidental.
03:56 Is there a maximum amount that a person who avails this micro insurance can collect?
04:05 Does it have a ceiling?
04:07 There's no such thing as a mismention.
04:11 What's required is that the premium that a person should avail
04:17 must not go beyond the 7.5% as mandated by the insurance code.
04:23 What benefits can you get from micro insurance?
04:28 Because most of us think that it's expensive.
04:32 What benefits does it have for me?
04:35 It depends on the policy that an individual will take.
04:42 Say for example, he will take it to protect his business.
04:48 For example, in a restaurant, something happens to him.
04:51 The micro insurance will cover the liability or the damage
04:57 sustained by the damage.
05:02 So in other words,
05:03 And also for life, yes.
05:06 So in other words, sir, if there's an accident or a fire or whatever the situation is,
05:13 it covers the owner and the person.
05:21 Yes, that's right.
05:24 We still have a lot to talk about with the Insurance Commission Philippines Division Manager,
05:29 Gideon Joseph Operiano.
05:31 Here in the newsroom at CNN Philippines.
05:34 Let's go back to our service.
05:36 We are still talking about the importance of micro insurance.
05:41 We are with the Insurance Commission Philippines Division Manager, Gideon Joseph Operiano.
05:47 So sir, who are the accredited individuals who sell micro insurance products?
05:53 According to our data,
05:58 all regulated insurance companies and mutual benefit associations can sell micro insurance products.
06:08 So they should be registered with us before they sell micro insurance.
06:13 So they should be registered with you.
06:15 But how can we know if the sellers are legit?
06:20 Are there red flags that our countrymen should follow?
06:25 We cannot follow them one by one.
06:33 But people can directly use the website of the Insurance Commission to check whether the company is legitimate or not.
06:44 So they can see if there is a license or not for the insurance companies or the mutual benefit association.
06:52 Okay, so that is the way to verify.
06:55 Just go to your website and look for the name of the seller of the insurance.
07:02 Okay, but this National Micro Insurance Month, what are your programs for our countrymen?
07:10 We have activities in line with the micro insurance month to let our countrymen know the importance of micro insurance.
07:22 So in fact, we conducted awareness programs to help LGUs in different regions of the country.
07:31 We also held forums to discuss important issues and developments regarding micro insurance.
07:36 Okay, and how has the reception been in our low-income communities regarding micro insurance?
07:46 The low-income sector is receptive to have a positive reaction towards this product.
07:58 They see that this is a big help to them because it protects their lives and livelihood.
08:07 If our countrymen have any questions, where can they contact you?
08:13 The Insurance Commission can contact us at www.insurance.gov.ph
08:23 We can also call our hotline 8523 8461 Local 110
08:29 Or you can visit us at 1071 UN Avenue, Ermita, Manila and our district office in Davao and Cebu.
08:37 Okay, thank you very much Insurance Commission Philippines Division Manager Gideon Joseph Operiano.
08:43 OPERIANO.
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