ICMIF member Seguros Futuro celebrates its 25th anniversary

Wednesday, 14 August 2019

ICMIF member Seguros Futuro (El Salvador) has recently celebrated the company’s 25th anniversary.

The organisation was created on 17 July of 1994, with the mission of providing social security protection to the people of El Salvador, particularly those who had no access to insurance services or those who believed that insurance was onerous or only available to the more privileged groups within the Salvadoran population.

Seguros Futuro was created by the Federation of Cooperative Savings Associations and Credit of El Salvador (in Spanish “Federación de Asociaciones Cooperativas de Ahorro y Crédito de El Salvador” or FEDECACES de R. L.) after the Chapultepec Peace Accords brought peace to El Salvador in 1992 after more than a decade of civil war. This time also saw a new context for the regulation of financial activity in the country.

At that point the leadership of FEDECACES decided to try to reduce the economic and social gaps that existed in El Salvador society and wanted to ensure many more people had access to savings products, credits, family remittance payments, amongst others, and to provide insurance services through Seguros Futuro. They also wished to offer the cooperative network in El Salvador the chance to enjoy the benefits of being a member of a financial cooperative.

In 1994, there was no official insurance regulation in El Salvador and FEDECACES took steps to try to ensure that when such regulation was created, there were provisions for the cooperative model of insurance to be included. FEDECACES, from its creation in 1966 until 1994, had a Department of Protections which provided loans, savings and contributions services, which enabled their cooperative insurance model to be approved by the officials of the Central Reserve Bank. The Legislative Assembly approved the Insurance Law that came into force in 1997 including “cooperative associations that were functioning upon entry into force of the Law”, which included Seguros Futuro A.C. de R. L.

Héctor David Córdova, Corporate Manager of FEDECACES and Executive Director of Seguros Futuro said: “Seguros Futuro is one of the main pillars which safeguards the welfare of our members, as well as mitigating the risks of the Network of FEDECACES Cooperatives and also being the guarantor of the protection of the Network.

“In 2019, as we celebrate our 25th anniversary, Seguros Futuro is a guarantor of protection. Therefore, we are celebrating the role of Seguros Futuro and the strategic decisions which were taken to enable the organisation to serve the FEDECACES Cooperative Network.

Héctor David Córdova concludes: “This is why we say: we don't sell insurance, we provide protection”.

Daysi Rosales Beltrán, General Manager of Seguros Futuro and President of the Latin American Association for Education in Reinsurance (LARG), said: “Seguros Futuro is the only cooperative insurer in El Salvador, and we are supervised by the Superintendent of the Financial System (SSF) and the Salvadoran Institute of Development Cooperatives (Insafocoop). We offer life products and general insurance as well as surety bonds. We specialize in inclusive insurance for the cooperative sector and for the population in general. Seguros Futuro is delighted to be celebrating our 25th anniversary, along with FEDECACES, the many supporters of our cooperatives, our partners and especially our founders, the agencies, other collaborators and above all, our members with our slogan “25 years ensuring the Salvadoran population”.