A situation holistically and encouraged the distribution channels

A group, dubbed “The Funder Discussion Group of the MicroinsuranceNetwork (MIN)”, has identified seven top opportunities for the funders toinvest in the development of the sector.

The group, which includes investorsand donors supporting Microinsurance did several activities to identify these 7opportunities. The seven opportunities are:1.Supporting the market development – Some counties like SouthAfrica, the Philippines, and India have seen the development of markets ofmicroinsurance because they have managed approaching the situation holisticallyand encouraged the distribution channels and insurers to go down market as wellas improved the regulatory environment. There are, however, many countries thathave limited microinsurance penetration, according to recent landscape studies.The MAP (Making Access Possible) framework of United NationsCapital Development Fund includes insurance and can be a useful beginning pointfor identifying problems as well as opportunities.

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now

Another good example is A2ii(The Access to Insurance Initiative), which emerged from the joint workinggroup of the MIN with the IAIS (International Association of InsuranceSupervisors). A2ii has guidance and tools for insurance supervisors todevelopment the market of microinsurance. At the last G20 meeting, the PARM (Platform for AgriculturalRisk Management) was initiated to support the governments to put togetherpublic policies with risk analysis. The platform was initiated by AFD (AgenceFrançaise de Développement) and is being endorsed by FAO (the Food andAgriculture Organization of the United Nations), IFAD (International Fund forAgricultural Development), WFP (World Food Programme), African Development Bank,NEPAD (New Partnership for African Development), World Bank, OECD (Organisationfor Economic Co-operation and Development) and other bilateral cooperationagencies.2. Acceleratinginnovation to enhance client value and reduce costs – Inrecent years, most of the growth has come from the most basic products that areoften embedded in other services like products attached to loans, or productsattached to buying railway or airline tickets, etc. Additional innovation is necessary to allow thepractitioners to counter to the needs of risk management of low-incomehouseholds more effectively and improve delivery models.

Several members of MIN are experimenting with new productslike MicroEnsure. GIZ (the Deutsche Gesellschaft für Internationale Zusammenarbeit),Allianz and SDC (Swiss Agency for Development and Cooperation) have beenexperimenting with remote-sensing for agriculture insurance. Remote sensing,for your information, is the scanning of the earth by high-flying aircraft or satellitefor obtaining information about it. In the Caribbean, the IDB (Inter-American Development Bank),Guy Carpenter and Mercy Corps are pioneering catastrophic insurance coveragewhereas WFP and IFAD are doing a research in order to test types of approachesof remote-sensing to understand how and if they can be used for indexinsurance.3. Buildingcapacity – A good way to support the development of microinsuranceis building the capacity of more microinsurance professionals. There are threetarget group that warrant specific attention –·        Multipliers like trainers and consultants ·        Risk carriers·        Delivery channelsThe Capacity Building working group of MIN and MicroinsuranceInnovation Facility of the ILO are coordinating efforts to support multipliersand develop training materials to provide courses for distribution channels andinsurers.

In 2008, the Microinsurance Innovation Facility was launchedin 2008 with funding from the Bill & Melinda Gates Foundation to promote aswell as learn the ways to extend better insurance to the poor people of thecountry. Several donors have offered additional funding in the later rounds.These donors include the AusAID and the Z Zurich Foundation.4. Promotedata transparency and data collection – There is a requirement foradditional systematic data collection to improve value for the client and viabilityfor the provider and to measure the development of microinsurance at regionaland global levels as well as national levels.

With some support from the Microinsurance Network, thefunders including IADB, Making Finance Work for Africa, Munich Re Foundation, GIZand ILO commissioned the Microinsurance Centre in order to conduct landscapestudies of particular regions. These data collection practices must be done oftento track trends.5. Facilitating information sharing – To take advantage ofthe lessons and knowledge 

x

Hi!
I'm Mary!

Would you like to get a custom essay? How about receiving a customized one?

Check it out