Zimbabwe: IPEC working on weather index-based agriculture insurance for farmers
Zimbabwe’s Insurance and Pensions Commission (IPEC) is likely to introduce a weather index-based agriculture insurance in order to encourage smallholder farmers to insure their crops.
According to the statutory body, the insurance is a lucrative approach to managing weather and climate risk as it is based on weather index like rainfall to determine payouts.
“Despite the positive performance, the uptake of agricultural insurance remains subdued due to various factors. These include lack of insurance products that address the needs of smallholder and subsistence farmers who are the majority in Zimbabwe following the land redistribution exercise,” Insurance Council of Zimbabwe’s representative Tendai Karonga said.