Microinsurance

The latest sigma report published by reinsurer Swiss Re discusses the issue of agricultural insurance and reinsurance in emerging markets and suggests that premiums are set to grow fourfold over the next decade or so. Currently the emerging economies of the world make up around 22% of global agricultural insurance premiums, at $5.2 billion, with […]

Here’s another example of the successful application of parametric weather-index based insurance techniques in developing economies. Insurer Jubilee Insurance recently made payouts under their weather index insurance scheme to over 200 cotton farmers in Baringo County, Kenya for their losses suffered after crops failed due to a lack of measured rainfall.

Hurricane Sandy will likely cause the largest payout to date for the Microinsurance Catastrophe Risk Organisation (MiCRO) in Haiti. The impact of Sandy on Haiti was severe, with around 54 deaths, 18,000+ people displaced and the micro-lending firm Fonkoze suggesting that as many as 12,000 of their customers may be eligible for a payout under […]

The increasing adoption of weather index insurance or parametric insurance in the developing world continues as another pilot scheme gets approval in the Indian state of Maharashtra. Insurer HDFC ERGO General Insurance has received approval from the Maharashtra government to implement a pilot microinsurance project aimed at both farmers who have taken loans from a […]

Thailand’s Kasikornbank, one of the largest commercial banks in the country, is introducing a range of parametric and weather index based insurance products for their mortgage customers. After the catastrophic flooding in Thailand last year there has been a renewed focus on providing affordable, simple insurance products to home and business owners, in order to […]

A weather index based microinsurance scheme which has been active in Kenya for more than two years is now expanding its reach to include Rwanda as well. The scheme which offers farmers a way to protect their crops against weather extremes through the use of insurance products with parametric index type triggers is operated by […]

The development of microinsurance products using satellite data to create index-based insurance products is a growing industry and one which is showing increasing promise as the pilot projects scale out to encompass thousands of policyholders. The application of satellite technologies to create indices against which insurance products can be triggered is changing the way farmers […]

Yesterday we wrote about the impending payouts from microfinance organisation Fonkoze in Haiti who had told policyholders that they were ready to give all clients in areas hit by intense rain and wind from tropical storm Isaac a $125 payout, forgive their existing loan balance, and give them a new loan when they require it. […]

While attention is focused on the damage caused by hurricane Isaac when it ploughed into the Louisiana coastline it is easy to forget that before Isaac reached the U.S. the storm caused extensive damage in the Caribbean. The worst affected island appears to have been Haiti, which Isaac struck while a strong tropical storm bringing […]

The economies of countries such as Bangladesh, Philippines, Myanmar, India and Viet Nam are among the most exposed economically to the impacts of natural disasters and weather or climate catastrophes, according to the second Natural Hazards Risk Atlas published by risk analysis and mapping firm Maplecroft.