Microinsurance: A Case Study of an Example of the Provider Model of Microinsurance Provision - GRET Cambodia

This document attempts to review the activities of ‘GRET Cambodia’ in its role as a health care financing provider. The paper aims to:

• Provide an understanding of the mechanisms and practicalities of the ‘provider model’;
• Indicate the level of market satisfaction with the model;
• Review the process of product development, testing and implementation.

The paper discusses:

• Context of the study;
• Various aspects of the product such as: market research, product design, pilot testing, implementation and institutional impact;
• Results seen, in the context of original objectives.

The paper lists the following lessons learned:

• Insurer should utilize existing infrastructure to improve efficiency and reduce costs;
• It is important to track data aggressively and make necessary adjustments rapidly;
• An annual insurance cycle, with set entry points, facilitates the administrative activities of the insurer, but can act as a deterrent to potential clients;
• Providing health insurance in rural areas may call for reiterations of the methodology;
• The severe 100% increase in premiums for the second year, resulted in a high dropout rate;
• The inputs of a doctor are highly beneficial;
• Alterations to the model should be made prior to the payment of premiums.

The paper concludes by listing:

• Specific strategies used by ‘GRET’ to manage insurance risks;
• Strengths and weaknesses of the program;
• Threats to, and opportunities for, the program.