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Ghana Offered Life Insurance Via Cell Phone

Residents of Ghana can now buy life insurance using their mobile phone, in a service introduced by a South African company.

Wireless phone operator MTN says the service, launched Wednesday, is the first of its kind in the world.

MTN and its partner in the project, Hollard Insurance, say the service is aimed at low-income Ghanaians who do not have bank accounts. It allows mobile phone users to buy low-cost life insurance over their phones or by going to an MTN service center.

Payment of premiums can be made through MTN's mobile money service, which allows users to send and receive money through their phones.

MTN operates in 21 countries in Africa and the Middle East and plans to roll out the program in other African countries in the coming months.

Some information for this report was provided by AFP and Reuters.