Mutual & Federal empowers people’s lives with literacy skills

According to The World Competitive Report, South Africa ranks last on the list of 48 countries assessed on economic literacy. Of equal concern is the fact that South Africa ranked 46^th in finance skills and 47^th in skilled labour availability. These results prove that the country needs to step up its efforts to educate the nation on constructive money management skills.

Mutual & Federal, one of South Africa’s leading short-term insurers, identified the need for and relevance of a consumer education campaign, and has aligned itself with the South African Insurance Association (SAIA). “SAIA aims to assist underprivileged communities to gain access to much needed financial knowledge and skills.
Mutual & Federal is committed to assisting SAIA in all its endeavours to deliver comprehensive consumer education and money management skills to as many underprivileged South Africans as possible”, says Michael McCann, regional sales manager for Mutual & Federal south Gauteng and the Chairman of SAIA.

Through free-of-charge community workshops, SAIA offers a classroom environment where a variety of financial themes are covered, including money management, debt and credit, short-term insurance and the rights and responsibilities of consumers. “The workshops are supplemented by booklets written in the leaner’s language of choice to create an environment that is as conducive to learning as possible”, McCann explains.

Financial literacy in schools is also a prominent focus, and in 2007, SAIA developed an intervention for teachers of Grades 10 and 11. “Outcomes Based Education includes financial literacy as one of the eight competency outputs of the new schooling system. However, there was a clear need for content and skills to teach this subject in our schools”, McCann explains.

SAIA, in collaboration with the Department of Education, rolled out a series of Teacher Development Workshops in 2007 in a bid to equip teachers with the necessary tools to deliver financial education in schools. An innovative multimedia resource was developed, which included face-to-face workshops as well as printed material with practical lesson resources. In 2008, SAIA successfully extended the reach of the workshops and now offer training to Grade 12 teachers as well.

Between 2007 and 2008, SAIA hosted 35 workshops in all 9 provinces in South Africa. Adding to its success is the 1 763 Grade 10 and 11 Mathematical Literacy teachers, principals, district and provincial officials who attended the workshops in the 9 provinces. This resulted in an estimated 70 520 learners receiving financial education in the classroom.

“The importance of an institution like SAIA cannot be overemphasised, and
Mutual & Federal will continue to support it in all its endeavours. We would also like to encourage other short-term insurers that are not yet engaged to become involved. Never before has it been more important for our industry to stand together in a bid to uplift the financial status of all South Africans”, McCann concludes.