Making Insurance Markets Work for Farmers in India
India's crop insurance program is the world's largest with 25 million farmers insured. Yet 85 million farmer households are not covered. Issues in design, particularly related to delays in claims settlements, explain the low coverage. To...
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| Format: | Brief |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2010/11/13914562/making-insurance-markets-work-farmers-india http://hdl.handle.net/10986/10469 |
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okr-10986-104692021-04-23T14:02:50Z Making Insurance Markets Work for Farmers in India Mahul, Olivier Verma, Niraj ACCESS TO FINANCE ADVERSE SELECTION ADVISORY SERVICES AGRICULTURAL INSURANCE BANKS BASIS RISK BUDGET MANAGEMENT CAPACITY BUILDING CAPITAL MARKETS CATASTROPHIC LOSSES COVERAGE CROP FAILURE CROP FAILURES CROP INSURANCE CROP INSURANCE SCHEME DEBT DEBTS DEDUCTIBLES DISASTER DISASTER REDUCTION DISASTER RISK DISASTERS EXPOSURE FARMER FARMERS FINANCIAL ASSISTANCE FINANCIAL LIABILITY FINANCIAL SECTOR FINANCIAL SUSTAINABILITY FORMAL BANKING FORMAL BANKING SYSTEM GLOBAL CAPITAL GLOBAL CAPITAL MARKETS HOUSEHOLDS INCOME INDEMNITY INSTITUTIONAL CAPACITY INSTITUTIONAL CAPACITY BUILDING INSURANCE COMPANIES INSURANCE COMPANY INSURANCE MARKET INSURANCE MARKETS INSURANCE POLICY INSURANCE PRODUCTS INSURER INSURERS INTERNATIONAL BEST PRACTICE KEY BENEFITS KEY CHALLENGES LANDSLIDES LENDERS LOSS RATIO MORAL HAZARDS NATURAL DISASTERS OUTPUT OUTPUTS OUTREACH PORTFOLIO PREMIUMS PRIVATE INSURANCE PRIVATE REINSURANCE PROGRAMS PUBLIC-PRIVATE PARTNERSHIPS RATES REINSURANCE REINSURANCE CAPACITY REINSURANCE COMPANIES REINSURANCE MARKETS REINSURERS RESERVES RISK ASSESSMENT RISK MITIGATION RISK PROFILES RISK TRANSFER RISK-BASED PRICING SETTLEMENT SOCIAL COST SUSTAINABILITY TECHNICAL ASSISTANCE UNDERWRITING VILLAGE India's crop insurance program is the world's largest with 25 million farmers insured. Yet 85 million farmer households are not covered. Issues in design, particularly related to delays in claims settlements, explain the low coverage. To address these problems, the World Bank provided actuarial inputs, engaged in policy dialogue, and facilitated the launch of an innovative crop insurance program that will improve equity, risk mitigation, and claims settlement for farmers; provide tools for budget management and agricultural policy for government; and open up the market for public- and private-sector insurers and reinsurers. Initially, the program will be available to an estimated 8 to 10 million farmers, of whom 3 million are expected to participate in the first year with a total sum insured in excess of $1 billion. Over time, this project could be scaled up to be available to India's 110 million farmers. This smart lesson describes lessons learned in developing and implementing the crop insurance program. 2012-08-13T11:39:46Z 2012-08-13T11:39:46Z 2010-11 http://documents.worldbank.org/curated/en/2010/11/13914562/making-insurance-markets-work-farmers-india http://hdl.handle.net/10986/10469 English IFC Smart Lessons Brief CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Brief Publications & Research South Asia India |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ACCESS TO FINANCE ADVERSE SELECTION ADVISORY SERVICES AGRICULTURAL INSURANCE BANKS BASIS RISK BUDGET MANAGEMENT CAPACITY BUILDING CAPITAL MARKETS CATASTROPHIC LOSSES COVERAGE CROP FAILURE CROP FAILURES CROP INSURANCE CROP INSURANCE SCHEME DEBT DEBTS DEDUCTIBLES DISASTER DISASTER REDUCTION DISASTER RISK DISASTERS EXPOSURE FARMER FARMERS FINANCIAL ASSISTANCE FINANCIAL LIABILITY FINANCIAL SECTOR FINANCIAL SUSTAINABILITY FORMAL BANKING FORMAL BANKING SYSTEM GLOBAL CAPITAL GLOBAL CAPITAL MARKETS HOUSEHOLDS INCOME INDEMNITY INSTITUTIONAL CAPACITY INSTITUTIONAL CAPACITY BUILDING INSURANCE COMPANIES INSURANCE COMPANY INSURANCE MARKET INSURANCE MARKETS INSURANCE POLICY INSURANCE PRODUCTS INSURER INSURERS INTERNATIONAL BEST PRACTICE KEY BENEFITS KEY CHALLENGES LANDSLIDES LENDERS LOSS RATIO MORAL HAZARDS NATURAL DISASTERS OUTPUT OUTPUTS OUTREACH PORTFOLIO PREMIUMS PRIVATE INSURANCE PRIVATE REINSURANCE PROGRAMS PUBLIC-PRIVATE PARTNERSHIPS RATES REINSURANCE REINSURANCE CAPACITY REINSURANCE COMPANIES REINSURANCE MARKETS REINSURERS RESERVES RISK ASSESSMENT RISK MITIGATION RISK PROFILES RISK TRANSFER RISK-BASED PRICING SETTLEMENT SOCIAL COST SUSTAINABILITY TECHNICAL ASSISTANCE UNDERWRITING VILLAGE |
| spellingShingle |
ACCESS TO FINANCE ADVERSE SELECTION ADVISORY SERVICES AGRICULTURAL INSURANCE BANKS BASIS RISK BUDGET MANAGEMENT CAPACITY BUILDING CAPITAL MARKETS CATASTROPHIC LOSSES COVERAGE CROP FAILURE CROP FAILURES CROP INSURANCE CROP INSURANCE SCHEME DEBT DEBTS DEDUCTIBLES DISASTER DISASTER REDUCTION DISASTER RISK DISASTERS EXPOSURE FARMER FARMERS FINANCIAL ASSISTANCE FINANCIAL LIABILITY FINANCIAL SECTOR FINANCIAL SUSTAINABILITY FORMAL BANKING FORMAL BANKING SYSTEM GLOBAL CAPITAL GLOBAL CAPITAL MARKETS HOUSEHOLDS INCOME INDEMNITY INSTITUTIONAL CAPACITY INSTITUTIONAL CAPACITY BUILDING INSURANCE COMPANIES INSURANCE COMPANY INSURANCE MARKET INSURANCE MARKETS INSURANCE POLICY INSURANCE PRODUCTS INSURER INSURERS INTERNATIONAL BEST PRACTICE KEY BENEFITS KEY CHALLENGES LANDSLIDES LENDERS LOSS RATIO MORAL HAZARDS NATURAL DISASTERS OUTPUT OUTPUTS OUTREACH PORTFOLIO PREMIUMS PRIVATE INSURANCE PRIVATE REINSURANCE PROGRAMS PUBLIC-PRIVATE PARTNERSHIPS RATES REINSURANCE REINSURANCE CAPACITY REINSURANCE COMPANIES REINSURANCE MARKETS REINSURERS RESERVES RISK ASSESSMENT RISK MITIGATION RISK PROFILES RISK TRANSFER RISK-BASED PRICING SETTLEMENT SOCIAL COST SUSTAINABILITY TECHNICAL ASSISTANCE UNDERWRITING VILLAGE Mahul, Olivier Verma, Niraj Making Insurance Markets Work for Farmers in India |
| geographic_facet |
South Asia India |
| relation |
IFC Smart Lessons Brief |
| description |
India's crop insurance program is
the world's largest with 25 million farmers insured.
Yet 85 million farmer households are not covered. Issues in
design, particularly related to delays in claims
settlements, explain the low coverage. To address these
problems, the World Bank provided actuarial inputs, engaged
in policy dialogue, and facilitated the launch of an
innovative crop insurance program that will improve equity,
risk mitigation, and claims settlement for farmers; provide
tools for budget management and agricultural policy for
government; and open up the market for public- and
private-sector insurers and reinsurers. Initially, the
program will be available to an estimated 8 to 10 million
farmers, of whom 3 million are expected to participate in
the first year with a total sum insured in excess of $1
billion. Over time, this project could be scaled up to be
available to India's 110 million farmers. This smart
lesson describes lessons learned in developing and
implementing the crop insurance program. |
| format |
Publications & Research :: Brief |
| author |
Mahul, Olivier Verma, Niraj |
| author_facet |
Mahul, Olivier Verma, Niraj |
| author_sort |
Mahul, Olivier |
| title |
Making Insurance Markets Work for Farmers in India |
| title_short |
Making Insurance Markets Work for Farmers in India |
| title_full |
Making Insurance Markets Work for Farmers in India |
| title_fullStr |
Making Insurance Markets Work for Farmers in India |
| title_full_unstemmed |
Making Insurance Markets Work for Farmers in India |
| title_sort |
making insurance markets work for farmers in india |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2010/11/13914562/making-insurance-markets-work-farmers-india http://hdl.handle.net/10986/10469 |
| _version_ |
1764413210829520896 |