For more information about microinsurance, check out the ILO's Emerging Insights, which provide bite-sized lessons from microinsurance practitioners about various themes including distribution, client value, product design and others. Be sure to check out the latest edition of the ILO's Emerging Insights at the link above featuring one of our latest MILK project papers and also Barbara Magnoni and EA Consultants!
|Author:||International Labour Office Microinsurance Innovation Facility|
|Author:||Michael J. McCord, Molly Ingram and Clémence Tatin-Jaleran|
El presente estudio es el primer estudio cuantitativo panorámico sobre los microseguros en América Latina y el Caribe. Gran parte del conocimiento sobre los microseguros proviene de información de estudios de caso de países o de empresas. A pesar de que estos documentos pueden ser informativos a nivel de las entidades, generan poca información sobre la industria de los microseguros en su conjunto. Esto dificulta la identificación de deficiencias, brechas y tendencias de los productos, cobertura e industria. Entender las tendencias puede ayudar a que los participantes o interesados en el sector aprovechen este conocimiento para que a través de sus actividades subsanen las deficiencias, introduzcan cambios positivos y redireccionen áreas que no están funcionando adecuadamente, así como para entender las tendencias vinculadas a factores reglamentarios o macroeconómicos. En efecto, los mercados tradicionales de los países desarrollados siguen regularmente las tendencias de los mismos como un mecanismo para generar información clave de mercados.
Esta documento ofrece un resumen de los resultados del estudio panorámico de ALC con respecto a las vidas cubiertas y los productos ofrecidos en la región. Además, discute el crecimiento y los canales de distribución y también la regulación y el mercado.
|Author:||Tyler Tappendorf, Camyla Fonseca, Zani Muller, Jeremy Gray, Saima Zafar, Mia Thom , José Miguel Solana and Pranav Prashad|
|Author:||Mia Thom, Jeremy Gray, Zani Müller and Jeremy Leach|
Achieving scale was found to be one of the success factors for profitable microinsurance schemes; however to achieve scale is difficult. M. Thom, J. Gray, M. Müller, and J. Leach reviewed microinsurance initiatives that have achieved scale to identify and understand their trends and drivers in scale. Scale: Thinking Big analysed 95 initiatives that achieved scale and evaluated 8 case studies in detail to understand what drives scale.
|Author:||Janice Angove and Aparna Dalal|
Business Case for Microinsurance Part ll: Follow-up Study on the Profitability of Microinsurance investigates whether corrective measures implemented by insurers that were facing challenges with profitability have been successful over the longer term. Authored by J. Angove, and A. Dalal, this paper follows the financial experience of six insurers over three years (2009-2012), looking at changes to some of their microinsurance initiatives and providing new insights into drivers of profitability.
|Author:||David M. Dror, Atanu Majumdar, Predeep Panda, Denny John, and Ruth Koren|
In countries where governments can neither mandate contributory universal health coverage (UHC) nor subsidise its full cost, one of the great challenges is reducing private out-of -pocket expenditure (OPE) for health care payable at the point and time of service. This inequitable and inefficient health financing mechanism persists in many low-income countries. In Nepal, the third poorest country in Asia, OPE represents around 72 percent of total health-care costs. The World Health Organization proposes the introduction of prepayment and risk pooling as a way to solve this problem. This paper addresses the question whether and how it is possible to operate sustainable health insurance in the informal sector in rural Nepal without premium subsidies, and what useful role communities can play in the self-governance of their insurance.
|Author:||Thérèse Sandmark, Jean-Christophe Debar, and Clémence Tatin-Jaleran|
The discussion paper, published by the Network Agriculture Insurance Working Group, reviews the current state of agricultural insurance markets in the world, and the recent developments which have seen the increase of index-based insurance schemes. A discussion about the actors involved in the provision of these insurance contracts, integrating recent literature covering this topic, underlines what can be learned about the value of these products.
Four case studies - in Brazil, Morocco, Senegal, and China - describe different country examples and compare their approaches to developing agriculture insurance, focusing on the value proposition of each system.
The conclusion highlights the main lessons that can be drawn from the implementation of agricultural insurance in the world, in view of promoting its expansion in less-developed countries.
The paper, published by the Microinsurance Network, was funded by the BMZ in collaboration with GIZ with support from Grameen Crédit Agricole Microfinance Foundation, the Foundation for World Agriculture and Rurality (FARM), and ADA.
|Author:||Center for Health Market Innovations(CHMI)|
The Highlights: 2013 report includes:
|Author:||Thérèse Sandmark, Jean-Christophe Debar & Clémence Tatin-Jaleran|
|Author:||Sunil Bhat and Premasis Mukherjee|
|Author:||Pranav Prashad, David Saunders and Aparna Dalal|
The ILO’s Microinsurance Innovation Facility has recently released a new Microinsurance Paper titled 'Mobile phones and microinsurance'.
Insurers are using mobile phones to address two main challenges facing the microinsurance sector: increasing efficiency and reaching scale. Authored by P. Prashad, D. Saunders & A. Dalal, this paper is based on a review of literature and 13 insurance schemes that are using mobile phones in some capacity. The review reveals good practices and lessons for insurers to consider when implementing mobile-based microinsurance.
|Author:||Russell Leith and Ramanathan Subramanian|
In the Pacific, insurance penetration is extremely low and generally only held by large companies and wealthy individuals. The largest proportion of the population; those who are most vulnerable to shocks and who suffer the most if they occur, do not have access to any insurance products – at least not yet.
If we are to overcome poverty, we will need to strengthen the ability of the most vulnerable to stand on their own feet; to take charge of their own destiny. This is what will make or break a success in development. Sustainable and real results can only be achieved when people themselves are put in a position where they can take charge of their own development process. This illustrates the need for
insurance within the overall development scenario.
As donors, it is important we create opportunities and choices for people. This is where insurance plays a key role. Insurance allows individuals and families to continue to have choices and opportunities in life also when unexpected events happen. It acts as a safety net for families, which in times of a crisis provides them with the much-needed funds to re-establish their lives and llivelihoods. Therefore, to achieve sustainable development it is critical to expand the access to insurance to the large segment of uninsured population.
According to new research released by the Munich Re Foundationand GIZ,the microinsurance sector in Asia and Oceania has reached 172millionlives and properties covered, representinga40% annual growth rate between 2010 and 2012.India is leading the market at over 100 million, whilstMalaysiaandIndonesiaemerge as having the most vibrant microinsurance markets with agrowth rate of 185% and over 100% respectively,over the same time period.1
This briefing note summmarizes preliminary finding of the "The Landscape in Microinsurance in Aisia and Oceania" study to be discusses during the 9th International Microinsurance Conference.
The Study complements " The lanscape of Microinsurance in Africa, Latin America and the Caribbean" published in 2012 and completes the "World Map of Microinsurance."
Results amd data are subject to clarification and discussion over the coming months. The final report is expected to be published by May 2014.
|Author:||Meredith Kimball, Caroline Phily, Amanda Folsom,|
This paper reviews country experiences in Cambodia, Ghana, India, Kenya, Thailand, Tanzania and the Philippines. It examines the hypothesis that government-sponsored insurance initiatives should collaborate with private actors to accelerate the expansion of health insurance to informal workers and their families.
|Author:||Michael J. McCord, Molly Ingram and Clémence Tatin-Jaleran|
The microinsurance sector in Latin America and the Caribbean (LAC) has recently experienced tremendous growth in life and accident coverage as well as a notable increase in products covering multiple risks. Despite some significant initiatives, primary health and property microinsurance coverage remains extremely limited. In the eleven countries for which previous data was available, the total number of people and properties identified as covered by microinsurance grew by 125% over the six years from 2005 through the end of 2011. Within the region, the five largest microinsurance markets - Mexico, Brazil, Colombia, Peru, and Ecuador - remain dominant, as these countries account for 90% of all microinsurance coverage in LAC.
|Author:||Daniel Clarke and Liam Wren-Lewis|
This paper considers the potential role of government in aiding the scale-up of high quality index insurance products in developing countries. In particular, we analyse optimal public policy in light of the fact that index insurance policies are typically credence goods - that is, the basis risk of a given policy cannot be distinguished by consumers before purchase and only to a limited extent after purchase. We discuss two potential market failures that stem from this property that governments may seek to correct: low takeup and low investment in reducing basis risk. In each case, we consider the costs and benefits of various alternative government policies. We show that policies aimed to improve take-up may improve or worsen incentives for investment, and that the precise nature of these effects will depend on the government’s ability to commit, the marginal cost of funds, and their potential to identify the inputs necessary for constructing a high quality index.
|Author:||Laura Budzyna, Taara Chandani and Barbara Magnoni|
In this MILK brief, the MicroInsurance Centre’s MILK Project Client Math team partnered with Hygeia Community Health Care (a collaborative effort among the PharmAccess Foundation, the Health Insurance Fund, and the Nigerian HMO and hospital network, Hygeia Nigeria Limited) to analyze the value of its product for clients with chronic disease, specifically hypertension. HCHC seeks to facilitate better health outcomes for low-income families in Lagos by reducing health care costs and improving the quality of care.
We found that HCHC clients use preventative hypertension services more frequently and consistently than uninsured respondents and have made more lifestyle changes than the uninsured comparison group, suggesting that the insurance has reduced barriers to access and played a role in facilitating healthy behavior change. To compound this benefit, HCHC clients also face dramatically lower costs of treatment and services, though their opportunity cost of seeking care remains the same as it does for uninsured clients. At the same time, we find that the lifestyle changes that insured clients have undertaken, specifically dietary changes, have resulted in new and unforeseen non-medical costs for this group. This sheds light on the consideration that in some cases, by virtue of their more frequent contact with the health system, insured individuals actually spend more on their health than do uninsured individuals.These expenses are important to quantify as they can lead to improved health outcomes but can also discourage short-term usage of health services.