SiCRED sh.a., first Life Insurance Company that distributes the insurance fund for loyalty ‘Life with Savings’

SiCRED sh.a. Life Insurance Company identified a gap in the Albanian insurance market regarding long-term employee retention and loyalty programmes. Traditional employer-employee relationships lacked structured mechanisms to reward employees for sustained commitment and good performance over extended periods. Companies needed innovative solutions to incentivise employee loyalty whilst providing financial security and life insurance protection. The challenge was to create a product that would encourage employees to remain with their employers for the long term whilst building a savings component that would benefit them upon completion of their tenure.

In 2008, SiCRED sh.a. Life Insurance Company conceived the 'Life with Savings' insurance product, an innovative solution that combines life insurance protection with a savings component. The product is designed to reward employees for good performance at work and loyalty to their employing company after a 7-year continuous employment period. The insurance contributions are paid mainly by the employers. The solution provides a structured long-term reward mechanism that encourages stability and mutual appreciation between employers and employees. Upon completion of 7 years of continuous employment, employees receive the accumulated savings benefits. Additionally, the product includes life insurance coverage, so families of employees who experience premature loss of life during the insurance period also benefit from the life insurance component.

During February 2017, approximately 250 employees from three pioneering companies benefited from approximately 600,000 Euro in total payouts, demonstrating the successful maturity of the first generation of 'Life with Savings' policies. This represented the first maturity distribution of the product in the Albanian market. The payment of approximately 600,000 Euro showed the financial strength and maturity of SiCRED sh.a., which had reached 30% market share of the Life Insurance market for 2016. In addition to the primary benefits, there were cases where families of employees benefited from the Life Insurance component as a result of premature loss of life of their loved ones during the insurance period. The success of this product demonstrated that innovative long-term insurance schemes could be successfully implemented in Albania, paving the way for other companies to adopt similar employer-employee relationship models.