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Impact of ILRI’s IBLI and the role of Public and Private Sector in Upscaling of Livestock Insurance in Kenya

19 October 2015

In a workshop hosted by the Index Based Livestock Insurance (IBLI) project of ILRI in Nairobi Kenya in June 2015, participants were informed of the its impact as an example of evidence-based research and lessons learned for wider policies to support livelihoods in pastoral production systems. Since its inception in 2010, the innovative product that was designed to protect livestock keepers from drought-related asset losses in Northern Kenya (and Southern Ethiopia), has not only improved the coping ability of post-drought effects of livestock keepers, but are also the farmers were found to be 25% less likely to ration meals especially to children. In addition, IBLI has been found to be a more cost-effective strategy for dealing with hunger and drought-related effects compared to other household safety net programs (HSNP) in Northern Kenya. Success of IBLI endorses research-for-development innovations as a more effective method of solving social and economic challenges of vulnerable livelihoods.

During the same workshop that attracted both public and private sector stakeholders in livestock insurance, different speakers outlined the role of both the state and private sector in progressing the agenda of upscaling mechanisms for strengthening resilience of livelihoods of communities in Arid and Semi-Arid Lands (ASALs). To this end, it was proposed that governments should support the private sector in creating an integrated social protection system for the ASALs specifically, certification and regulation roles. On the other hand, private sector should take cue from the success of IBLI to develop more innovative insurance products that are sustainable and are acceptable to the target communities.



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