At the end of April 2013, Allnations, ICMIF’s capital support facility, completed its fifth investment in an ICMIF member organisation. GMC Assurances (Garantie Mutuelle des Cadres, also known as GMC) has been granted a loan of USD 300,000 to assist them in the distribution of microinsurance in Cameroon.
Founded in 1991, GMC was the first mutual insurance company in Cameroon. One of GMC’s earliest products was called F.A.S (“Fonds d’Aide et de Solidarité” or Fund for Aid and Solidarity) to provide cover in case of hospitalisation or death for families of up to 12 people.
The traditional channels of distribution were large firms with a predominantly working-class population. This system worked well for eight years but stalled in 1999. Since then the company has not been able to develop new distribution channels whilst over 90% of the Cameroon population remained without access to traditional insurance products.
The Allnations loan will help GMC to re-launch the “FAS” product to the Cameroon market.
Sabbir Patel, ICMIF Senior Vice President responsible for Allnations, says “This investment is a reminder of the important role which Allnations can provide for ICMIF members in developing economies. In the coming months we will be investigating the possibilities for increasing the capacity of Allnations in order to support more projects such as GMC.”
Learn more about ICMIF’s work in the areas of development and capital here.