Offering Added Value Through Pre-Selection

Q: How does Grupo Valore business strategy differ from other insurers?

A: We differentiate ourselves by providing added value both to our group’s insurers and their clients. Our four insurers are GMX, which offers liability insurance; ANA, which provides car insurance; Seguros Argos, for life; and Prevem Seguros, which covers health. Together, our companies provide coverage to 2 million people. We are leaders in civil responsibility insurance and most of our products provide international coverage.

Q: How is Grupo Valore’s healthcare insurer making a difference in care practices?

A: Healthcare is of the utmost importance to the group. Prevem Seguros, our youngest member, provides clients with added value in coverage and conditions through the application of strong pre-selection criteria. Because our client base is carefully selected, we can offer clients all the guarantees of medical-insurance coverage at preferential prices. We pre-select our clients by performing a comprehensive medical exam for those over 35. This allows all our insured clients to enter a pool of healthy people, which also reduces costs. Our clients also receive a comprehensive medical exam when they turn 35 and we ask them to undergo an exam every five years so they can track their health status. Prevem covers approximately 35,000 people but the company is growing at an annual rate of 35 percent, an accelerated pace considering our strict selection criteria. Our business model has an annual deductible and assured reinsertion, which provides great stability and ensures that the annual increase in cost to customers is kept to a minimum.

Q: How does the company compete against international insurers?

A: Thanks to our pre-selection criteria, Prevem Seguros has had an accident rate of less than 50 percent during its seven years of existence, which makes our business model highly attractive for our investors and our customers. Our clients receive personalized attention since all our teams are fully aware of the needs of Mexican workers and their families. We have alliances with most of the main hospitals, doctors, clinics, laboratories, pharmaceutical companies, assistance companies, medical associations and insurers specializing in healthcare.

Q: How does Prevem Seguros work to increase awareness among the population about prevention?

A: Our medical committee carries out constant campaigns to raise awareness about the dangers of diabetes. The group also offers presentations on a wide range of diseases and conditions, including hypertension, hepatitis and overweight, under the name “Canal de la Salud” (Health Channel). We also have a medical chat on our webpage to provide instantaneous guidance to interested clients.

Q: Insurance penetration among Mexico’s population is low. What are public and private organisms doing to increase it?

A: Mexico is still creating an insurance culture, but the need already exists. The penetration of insurance practices within the Mexican population is increasing but it varies greatly from state to state. While insurance is prevalent in major hubs such as Mexico City, other cities have lagged behind. A strategy to improve penetration rates in each sector is to make it mandatory by law. People often recognize the utility of being insured after an accident. We observed this especially after the Sep. 19, 2017 earthquake that hit Mexico City and other areas of the country. Many individuals were under the impression that insuring their property would be prohibitively expensive but this is not the case.

AMIS, insurers and government authorities have significant interest in promoting insurance as it is a key strategy to protect and preserve capital. Insurance is essential for economic health. Larger companies are fully aware of the importance of insuring their assets but not all small companies are conscious of this need.