About IBLI / Africa / CCAFS / Climate Change / DRYLANDS-CRP / East Africa / Ethiopia / ILRI / Insurance / Livestock / News / Vulnerability

Insuring the Uninsured… OIC’s new Index Based Livestock Insurance for Borena pastoralists

Oromia Insurance Company (OIC) launched a new product in Yabelo, Ethiopia
Oromia Insurance Company (OIC) has recently launched a new product dubbed Index Based Livestock Insurance (IBLI) for pastoralists in Borena Zone, Oromia National Regional State. For farmers and pastoralists in Ethiopia’s drought vulnerable zone, the launching of IBLI is very good news.

Borena has been affected by drought recurrently over the past couple of years. According to the United Nations Office for the Coordination of Humanitarian Affairs, in 2010 and 11, drought in Borena caused serious damage to the rich livestock resources of the region. As a result 412,000 out of a total of 1.29 million people in the region were receiving food assistance including aid provided under the Productive Safety Net Programme.

Whenever drought hits the area, forage crop and water availability are seriously affected making survival of livestock in the area difficult. As a result pastoralists, whose livelihoods depend mainly on livestock resources, lose much of their herds during drought seasons.

This sustains the cycle of poverty in the area, further casting a shadow over their hope of a better future. It is to such people that OIC now brings a new of its kind insurance service, bringing subscribers relief.

Read more… Ethiopian Business Review, October – November 2012 Edition : Amanyehun R. Sisay

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s