It's Happening....
First Insurance Policy for Single-purpose Prepaid Cards Signed
- Details
- Category: Ningbo Business
- Published: Tuesday, 15 March 2016 08:28
On Mar. 11th, Xu Yaoping, a beauty salon owner in Haishu District, signed the first insurance policy for single-purpose prepaid cards. “Just 2 yuan for a 1000 yuan-worth insurance policy that will not only eliminate customers’ scruples but enhance our credit; that’s a bargain,” said he.
Mrs. Wang was the first to benefit from the insurance. According to the stipulation, she could receive full compensation from the insurance company once the beauty salon goes wrong before her prepaid card is maxed out.
In recent years, consumers were frequently victimized by suddenly disappeared prepaid card issuers, which was especially common in service industries like beauty salons. It occasioned widespread complaints from consumers. Statistics showed that customer complaints reached 11,247 in 2014 and 15,689 in 2015, indicating an obvious increase.
To root out and properly tackle prepaid card disputes and guard the consumers’ rights, Ningbo insurance industry forged a business ally based on full application of insurance systems. In 2015, it launched a pilot project in Haishu District testing the insurance policy for single-purpose prepaid cards. Pursuing the “pilot programs first, progressive promotion later” principle, the ally targeted first at the service industry including beauty salons and private-owned gyms that have close relation to people's daily life. So far, there have been 158 applicants, all of whom will get approval after rigid scrutiny.
Consumers need only to click the registered shops in a website to buy prepaid cards and make a purchase with it; then they will be insured automatically without any additional fees. The insurance cost will be covered totally by the sellers. If the sellers go bankrupt and refuse to return the remaining money in the prepaid cards, consumers can call at 95519. And after the insurance company has checked it, all their loss will be paid.
