Sanlam, the life and general insurance company in Kenya has been put on the spot by a client for harboring rogue sales people that don’t fully reveal the terms of an insurance policy.
The client states that he had agreed with a sales agent about a life insurance policy that matures after every fifth year but after paying on time for oover 5 years, the client relalised that he is not receiving the payment as received. He decided to check the terms of agreement and saw that the insurance person didn’t sign him up to the plan as agreed.
This is not an isolated case. Uptake of insurance products has been stagnant in Kenya.
According to the Association of Kenya Insurers, the uptake is at arounf 6.5 per cent, up from 5 per cent four years ago.
Customers feel that poor customer service and ‘complicated nature of life insurance products’ have led to low penetration.
As for Sanlam’s case, the sales agent lied to the client so as to sell a product. This is also one of the reasons why Kenyans distrust insurance firms.
The Sanlam case as seen on social media
The client, a user known as Kabethi (Mcbeth2011) states that his friend is distraught.
Mcbeth2011: Sanlam, you guys should be honest when selling insurance policy to customers. Kindly explain how there would be penalty of 120k after saving 230k. From now I will make sure your insurance policies are unsellable in my workplace.
Sanlam: Hi Kabethi (mcbeth2011), Apologies for inconvenience caused. Kindly share with us the policy number/Id number to be able to follow up the issue.
Mcbeth2011: I am speaking for a friend I introduced one of your products to. We sat down with your agent. Did maths n agreed on 5 yrs interval bonus plan. My friend has been contributing religiously for the last 5yrs and the five yrs relapsed in November last year. He has been eagerly awaiting for a call or email to confirm he will receive but nothing. It’s then that we decided to check at the policy again and noted that the agent didn’t sign him up to the agreed policy. He decided to put him in a 15th months plan. And now he has to part with 120k of his hard earned cash. And this is not his mistake but your agents mistake. Thanks guys at least you have opened my eyes.
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