Weather indices for designing microinsurance products for small-holder farmers in the Tropics

Agriculture is inherently risky. Drought is a particularly troublesome hazard that has a documented adverse impact on agricultural development. A long history of decision-support tools have been developed to try and help farmers or policy makers manage risk. Drought insurance works by encapsulating the best available scientific estimate of drought probability and severity at a site within a single number- the insurance premium, which is offered by insurers to insurable parties in a transparent risk-sharing agreement.

Insuring the Uninsurable for Poverty Alleviation in Nigeria: What Microinsurance can do?

In Nigeria there is low insurance patronage and the vast majority of citizens are exposed to various types of risks. The resulting effects are poverty, economic insecurity, insurgency, and social vices. Microinsurance is considered as one of the most effective means of reducing the vulnerability of the poor from the impacts of disease, theft, violence, disability, fire and other hazards.

Do caste and social interactions affect risk attitudes and adoption of microinsurance? Evidence from rainfall insurance adoption in Gujarat, India

Agriculture is a risky enterprise and farmers’ risk bearing capacity as well as their risk management strategies are determined by their risk preferences or risk attitudes. Risk preferences of the farmers are central to agricultural decision making in the context of adoption of new technology and agricultural innovations. Risk factors are also critical in determining the consequences of risk on household welfare.

Barriers to household risk management: Evidence from India

Why do many households remain exposed to large exogenous sources of non-systematic income risk? To answer this question, this paper uses a series of randomised field experiments in rural India to test the importance of price and non-price factors in the adoption of the innovative rainfall insurance product. Demand is significantly price sensitive, but widespread take-up would not be achieved even if the product offered a payout ratio comparable to U.S. insurance contracts.

A Case for Livestock Insurance

The case presents lessons from IFFCO-TOKIO's implementation of a livestock insurance product using radio-frequency identification technology. It outlines how IFFCO-TOKIO improved value for clients through new business processes. The case shows that if administered carefully, livestock insurance has the potential to be viable.


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