United General Insurance (UGI), in partnership with Old Mutual Malawi, has launched a new motor insurance product called Auto Shield 360, which combines vehicle protection with life and health insurance benefits for motorists and drivers.
The companies say the product is designed to address gaps in traditional motor insurance by extending protection beyond vehicle damage to include personal welfare benefits for policyholders and their families.
Speaking during the launch, UGI Chief Operations Officer McDonald Chibwe said the product was developed to provide broader protection than conventional motor insurance policies.
“This product is very unique because it is tackling almost all the gaps that have been there on the insurance market, covering policyholders, drivers and their families through death, injuries, disablement, medical bills and critical illness benefits,” said Chibwe.
Traditional motor insurance policies primarily cover damage to vehicles and liabilities arising from road accidents.
However, Auto Shield 360 also includes life insurance benefits, medical assistance, funeral support and emergency evacuation services.
The product has been developed in partnership with Old Mutual Malawi, which will provide the life insurance component of the cover.
Old Mutual Malawi Bancassurance Manager Brian Jana said the collaboration was intended to simplify insurance access while ensuring customers receive comprehensive protection.
“We created this innovative product to provide a comprehensive solution. Customers are able to access both general insurance and life insurance benefits under one cover, while ensuring claims are processed and settled on time,” said Jana.
Industry stakeholders have welcomed the initiative, describing it as a step towards providing customers with wider protection options.
Some organisations that have already subscribed to the cover say it will help reduce the financial burden associated with accidents involving employees who drive company vehicles.
Director of Operations for Wandikweza, Fisher Jiya, said the new cover extends protection to drivers who were previously left exposed under standard motor insurance arrangements.
“Previously, only the vehicle was insured, while employees driving company vehicles were not protected. Now medical expenses, funeral costs and other related challenges are also covered,” said Jiya.
According to Old Mutual Malawi, insurance penetration in the country remains at about four percent.
The company hopes innovations such as Auto Shield 360 will encourage more Malawians to take up insurance products and improve financial protection for motorists and their families.
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