Interactive product teardown

Zimbabwe's Most Profitable Insurance Failure Designed To Lapse

The $21 million reason not to change your bundle.

Marketing vs data
Marketing
Affordable funeral cover from $1/month
Data — Q4 2025 lapse rate
47.6% of policies lapse every quarter
Marketing
Over 3 million customers
Data — policies issued but never used
9 in every 10 policies that were issued but never used across the whole industry belong to Econet Life
Marketing
Just buy a bundle
Consumer reality
Most subscribers may not know they're insured

The $1 that changes everything

Open the My Econet app. Look at your data bundles. The difference between two packages is one dollar. One of them is insurance.

My Econet — Data Bundles (April 2026)
$3.00
WhatsApp 500MB + Voice Minutes
Standard data bundle. No insurance component.
$4.00
WhatsApp 500MB + 1 Month EcoSure Cover
That $1 is the premium
+$1 = insurance
That $1 is the premium. Here is what five years of IPEC filings show about what happens to it.
What the data shows
Quarterly lapse rate (Q4 2025)47.6%
Industry average lapse rate11.2%
Policies issued but never used — Econet's share of the whole industry~89%
5-year est. lapsed premium$15–21M

Source: IPEC Life Assurance Sector Reports 2021–2025. "Never activated" means a policy was issued but the subscriber never completed the process or maintained cover. See the full data table below.

This is not new

Three products. Three distribution mechanisms. Fifteen years. The IPEC data from 2021 to 2025 is the first time we can quantify what the model produces across five consecutive years of regulatory reporting.

2010
Ecolife launches
  • 1.2M subscribers at launch
  • Free cover activated by $3 airtime spend per month
  • 65% of Econet prepaid revenue flows through Ecolife subscribers
2012
Ecolife shuts down
  • Trustco dispute triggers shutdown
  • 1.6M subscribers lose cover overnight
  • Most subscribers not notified
  • World Bank cites case as a consumer harm study in Zimbabwe consumer protection review (2014)
2014
EcoSure launches
  • Econet owns the product this time — no foreign IP partner
  • Paid premiums via EcoCash
  • 1M subscribers claimed within 2 months of launch
  • Reports of unauthorised enrollment begin immediately
2019
Auto-enrollment controversy
  • Subscribers charged without verified consent
  • Econet attributes to "data capture errors"
  • No regulatory action recorded in IPEC reports reviewed
2024 – 2026
Bundle linkage model emerges
  • EcoSure embedded directly in data bundle packages
  • $1 increment between insured and uninsured bundle
  • The model visible in the My Econet app screenshot above
Key cases
i
World Bank 2014
Zimbabwe consumer protection review cites Ecolife shutdown as case study in subscriber harm when mobile insurance terminates without notice.
i
ZWSC 2013
Econet Wireless v Trustco Mobile [2013] ZWSC 43 — the legal dispute that ended the Ecolife partnership and stranded 1.6M policyholders.

Five years of regulatory data

Every year, Econet Life collected premiums from hundreds of thousands of policyholders who left before making a claim. Here is what five years of regulatory data shows.

Year Premiums Collected Collected From Those Who Left Share of Industry Left Without Claiming Industry Average Never Activated Econet's Share of This Problem
2021 ~$12.2M ~$486K 8.23% 8.92%
9 in every 100
8.40% 279,568 ~95%
2022 ~$7.8M ~$620K 8.82% 28.00%
28 in every 100
17.31% 112,355 ~98%
2023 ~$5.1M ~$1.28M 5.5% 78.92%
79 in every 100
44.27% 646,638 ~98%
2024 ~$9.16M ~$2.31M 5.23% 35.00%
35 in every 100
19.00% 9,520 ~85%
2025 ~$15.7M ~$1.88M 5.52% 27.39%
27 in every 100
11.24% 22,070 ~89%
5-Year Total ~$49.9M ~$6.6M Avg 35.7% Avg 11.2% 1,070,151

In every single year, more Econet Life policyholders left without claiming than the industry average.

"Collected from those who left" is a conservative estimate. It assumes policyholders held their policy for about 3 months before it ended, and about 1 month for policies that were issued but never really activated. Average monthly premium is derived from total revenue divided by policies in force each year. The real figure may be higher.

How many policyholders left without ever making a claim

A "lapse" means the policy ended without a claim being paid. The higher the line, the more policyholders left empty-handed that year.

Econet Life — each point shows how many policyholders left without claiming Everyone else in the industry

Source: IPEC Life Assurance Sector Reports 2021–2025. USD equivalents calculated using RBZ interbank rates disclosed in each report. 2021–2022 under IFRS 4 (GPW). 2023–2025 under IFRS 17 (Insurance Revenue). Direct year-on-year comparison should be treated with caution. Figures cited are annual except 2025, which uses Q4 annualised data as disclosed by IPEC. Hover column headers for definitions.

What a lapse actually means

A lapse is not a cancellation. The subscriber did not call to cancel. They did not opt out. They bought a different bundle next month — one without the EcoSure component — and the cover disappeared silently.

The premium for the months they were enrolled? Already collected. Recognised as earned revenue. Non-refundable. The insurer provided coverage during that period. The subscriber had the right to claim. In most cases, they did not know they had that right.

Under insurance accounting, this is entirely normal. Earned premium belongs to the insurer. What makes Econet Life's numbers unusual is the scale — and the consistency across five consecutive years of regulatory reporting.

Three things worth understanding before you read further
When a policy ends without a claim
The subscriber didn't call to cancel. They just bought a different bundle next month. Cover disappeared silently. No refund. No notification required.
When a policy was issued but never really used
A policy gets created — sometimes without the subscriber realising — but it never becomes a real working policy. The subscriber either didn't know they were enrolled, didn't follow through, or never paid again after the first charge. The policy exists on paper. The insurance relationship never really formed.
Why the insurer keeps the money
Premium is recognised as income once the coverage period has passed — regardless of whether a claim was made. The insurer provided cover. The subscriber had the right to claim. That the subscriber didn't know is a separate matter. This is legal under Zimbabwean insurance law.

How much did you pay for cover you may not have known about?

Based on the $1 premium increment visible in the My Econet app as of April 2026. Adjust the inputs to estimate your EcoSure premium history.

Your bundle details

How many months did you buy this bundle? 12 months
1 month60 months
Total premiums paid
estimated
Cover entitlement
per covered event
Policy status
as of last bundle
Claim likelihood
awareness factor
This calculator is illustrative. It is based on the $1 premium increment visible in the My Econet app as of April 2026. Actual premium amounts may vary by bundle and period. If you believe you have an active or recently lapsed EcoSure policy, contact Econet Life directly or file a query with IPEC at ipec.co.zw.

We estimated how much premium came from people who left without claiming

5-year estimated value of premiums collected from policyholders who left — either because their policy lapsed or because it was issued but never really activated
Conservative estimate:
US$15 million
Central estimate:
US$18 million
Upper estimate:
US$21 million
Assumptions
Policies issued but never activated — assumed 1 month premium collected per policy before it stopped.
Lapsed policies — assumed average 3 months premium before lapse (conservative — bundle-linked policies likely lapse after 1 month).
Exchange rates — RBZ interbank rates as disclosed in each IPEC report.
IFRS 17 transition — 2023–2025 figures use Insurance Revenue, not GPW. Not directly comparable to prior years.
Data source — published IPEC regulatory filings only. Not verified by Econet Life or IPEC.
Important: This analysis is based entirely on published IPEC regulatory filings. It does not constitute a legal claim. Earned premium collected from lapsed policies is standard insurance practice and is legal under Zimbabwean insurance law.
The question this data raises is not legal — it is whether the distribution model produces genuine insurance relationships or primarily generates premium collection at scale.
Each year: Econet's share of all policies issued but never used across the whole industry
2021~95% of the industry total
2022~98% of the industry total
2023~98% of the industry total
2024~85% of the industry total
2025~89% of the industry total

The regulator has noticed

"Market conduct" is regulatory language for consumer protection. When IPEC uses it in the same sentence as a named insurer, it is a signal — not yet an enforcement action, but a documented concern on the public record.

2023
Tone: Observational
IPEC notes Econet Life has the "highest number" of policies issued but never used in the sector. Warns policyholders may subscribe "without fully understanding" products. Calls for consumer education across the industry.
2024
Tone: Enforcement (minor)
Econet Life listed among entities fined by IPEC. Specific breach: late submission of statutory returns. Fine amount not disclosed in public filing.
2025
Tone: Active concern, named direction
IPEC states lapse treatment is receiving attention "from a market conduct perspective." Names Econet Life directly. "Strongly recommends" comprehensive experience analysis and data-driven retention strategies. This is IPEC's first public use of market conduct language in relation to this company's lapse data.
Regulatory escalation
Observation (2023)
Minor enforcement (2024)
Named market conduct concern (2025)
No enforcement action on lapse conduct has been recorded in reviewed IPEC filings as of Q4 2025.

The year the numbers became hard to explain

In 2023, IPEC data shows that revenue from policies that were issued but never used — ZW$31.08 billion — was almost equal to Econet Life's total reported insurance revenue of ZW$31.34 billion.

If taken at face value, virtually the entire year's revenue came from policies that were never genuinely activated.

There are two possible explanations. The first is that 2023 genuinely reflected a year of near-total policy failure to activate — consistent with the 78.92% lapse rate and the industry-wide economic disruption from Zimbabwe's currency crisis. The second is that the IFRS 17 transition, which changed how insurance revenue is recognised and timed, created an accounting presentation that makes the figures appear more extreme than the underlying economics.

We cannot determine which explanation is correct from publicly available data. We present both. The 78.92% lapse rate in the same year makes the first explanation harder to dismiss entirely.
2023 data point
Revenue from policies that were never used, as a share of total insurance revenue
99.2%
ZW$31.08B (never used) / ZW$31.34B total
Explanation A: Genuine operational failure — 78.92% lapse rate + currency crisis = near-total non-activation.
Explanation B: IFRS 17 transition artifact — new revenue recognition timing creates extreme apparent concentration.
IFRS 17 replaced IFRS 4 for insurance reporting beginning January 2023. The standard changed how and when premium income is recognised. Cross-year comparisons require caution.

Six things the bundle doesn't tell you

Core question
Is this insurance, or premium collection?
Signal: $1
$1

The premium is one dollar. The cover is real.

EcoSure funeral cover is a genuine insurance product underwritten by a registered insurer supervised by IPEC. If you hold an active policy and a covered event occurs, you are entitled to claim. The question is whether you know you hold one.

Signal: Lapse
Lapse

Changing your bundle may cancel your cover

If you buy the $4 bundle one month and the $3 bundle the next, your EcoSure policy may lapse silently. There is no notification. There is no refund. The premium for the months you were enrolled has been earned.

Signal: 47.6%
47.6%

Nearly half of all policies don't survive a quarter

In Q4 2025, 47.6% of Econet Life's lapsable policies lapsed in a single quarter — the highest rate in the industry by a significant margin. The industry average was 11.2%.

Signal: Never used
9 in 10

Some policies may never have activated at all

A policy gets created — sometimes without the subscriber realising — but it never becomes a real working policy. In most years, Econet Life accounts for over 85% of all such policies across the entire Zimbabwean life assurance sector. 9 in every 10 policies that were issued but never used belong to Econet Life.

Signal: Claim
Claim

You cannot claim on a policy you didn't know you had

The most direct consumer consequence of the lapse model is not financial — it is informational. Families who lose a member covered under an active EcoSure policy are entitled to a funeral benefit. But only if they know the policy existed.

Signal: IPEC
IPEC

The regulator is watching

IPEC's 2025 sector report names Econet Life directly and states that lapse treatment is receiving attention "from a market conduct perspective." This is the regulator's first public use of market conduct language in relation to this specific company's lapse data.

Bottom line
$1 in the bundle
does not mean you know you're insured, will stay insured, or can claim when it matters.
A more accurate description:

A telco distribution mechanism for a funeral policy, packaged to feel like a bundle feature, generating premium income primarily from policyholders who exit before they can claim.

That is not illegal.
The question is whether it is insurance.
What is less visible
Not the same as knowingly buying insurance
Not continuous unless the same bundle is repurchased
Not notified when cover lapses
Not refundable when it does
Not visible to your family unless you tell them
Deep Dive Data covers Zimbabwe capital markets and financial products. This article was produced independently using publicly available regulatory data. No relationship exists with Econet Wireless, Econet Life, or IPEC.

What to do

1
Check your current Econet bundle — open the My Econet app or dial *143# and look for whether your current package includes EcoSure cover.
2
Find your policy number — dial *900# or check the My Econet app under Insurance. The policy number is what your family will need.
3
Tell your family you have cover and where to find the policy number. A policy that exists but is unknown cannot be claimed.
4
If you change bundles, check whether the new bundle maintains cover. Switching from the $4 to the $3 bundle may silently lapse your policy.
5
If you believe you have an unresolved claim, contact IPEC directly:
[email protected]  ·  +263 443 358-61  ·  ipec.co.zw

Data sources: IPEC Life Assurance Sector Reports 2021, 2022, 2023 H1, 2024, 2025 Q4. Zimbabwe Supreme Court: Econet Wireless v Trustco Mobile [2013] ZWSC 43. World Bank Zimbabwe consumer protection review (2014). Techzim reporting on EcoSure auto-enrollment (2019). My Econet app screenshot (April 2026).