LIFE MICROINSURANCE IN BRAZIL: A PROPOSAL FOR PRICING AND ASSESSING THE TARGET AUDIENCE

• Published in: Brazilian journal of operations & production management 2017-05, Vol.14 (1), p.38-47
• Main Authors: Soares, Raphael Portilho, Neto, Julio Vieira, Méxas, Mirian Picinini, Rigueira, Tayana Aparecida
• Format: Article
• Language: English
• Subjects: Biometrics Board; Market Potencial; Microinsurance; Pricing
• ISSN: 2237-8960; 2237-8960
• DOI: 10.14488/BJOPM.2017.v14.n1.a5

The purpose of this article is the creation of a pricing model for life micro-insurance, as well as the analysis of its market potential in Brazil. In this sense, we sought to address issues relating to a biometric table used for pricing, such as the financial impact that the hiring value of this type of product reflects on family income. In addition, it is intended to expose the anti-selection risk made by the insurer, as well as the difference between the premium values for male and female genders, as women outlive men according to life tables published by the Instituto Brasileiro de Geografia e Estatística (IBGE) (Brazilian Institute of Geography and Statistics). In the development of the research, the methodology adopted was an exploratory, documental study by means of a qualitative research on the micro-insurance theme, especially life insurance, as well as the elements used in the measurement of insurance. It can be concluded in this work, that the financial impact on family income is not relevant, especially when the premium is parceled monthly according to the terms of the proposed product, making it accessible.