Assurance touts high unemployment in Mississippi as it rolls out service: Introduces two new pricing options for low-income users

Assurance Wireless cited the dismal employment statistics in Mississippi as it launched its subsidized wireless service in the state, the 12th state where the Sprint Nextel Corp. (S) subsidiary is offering service. Mississippi has the highest number of people living in poverty.
More than 129,000 Mississippi residents are without a job and nearly 22% live below the federal poverty line, Assurance said. “With unemployment in Mississippi at 10%, people need to be connected if for no other reason than to be able to apply for and obtain a new job,” said Grace Boehm, director for Assurance Wireless. “Studies have shown that nearly a third of those working say their cell phone has helped them make money, get new work or new customers.”
Assurance operates as part of the Low Income Program under the Universal Service Fund, which helps bring telecommunications to unserved and underserved areas as well as low-income Americans. Customers eligible for Assurance prepaid service include people who participate in Medicaid, Food Stamps/SNAP, Temporary Assistance to Needy Families, Supplemental Security Income, Federal Public Housing Assistance (Section 8), Low Income Home Energy Assistance Program or National School Lunch Program’s Free Lunch Program. Customers may also qualify based on low household income.
Qualifying individuals can get a free phone and 250 minutes of talk time for free, and the ability to buy more minutes or texts at 10 cents each. In addition, Assurance added two new plans: its $5 Talk plan increases monthly minutes to 500; its $20 Talk & Text plan increases the minutes to 1,000 and adds 1,000 text messages. Both new plans have Service Protector features, which guarantee the basic 250 free minutes to eligible customers, even if they can’t pay for the upgraded service that month.
Sprint announced third-quarter results in October, showing gains in its CDMA prepaid business.