1. Background of the Insurance Product
This section invludes a series of qualitative questions that will identify what the insurance program aims to achieve and set the baseline for evaluating responses throughout the assessment. Before proceeding with the rest of the assessment tool, these questions should be answered by the contracting entity for the insurance. Responses to these questions will ground the discussion and aid some of the quantitative verification in the assessment.
Questions
❓ What is the insurance product meant to cover?
- Protect farmers from catastrophic events
- Provide guarantees for loans
- Cover the cost of inputs
- Other?
💰 How is the insurance product funded/structured?
- National insurance program with government subsidy
- Contract farming with a food manufacturer where payment for insurance gets taken out of farmers' earnings post-harvest
- Agri-input supplier bundles inputs with insurance for a discounted/subsidized price
🎯 Will there be subsidies for the insurance product?
- If yes, what percentage of the premium will be covered?
- Who will provide the subsidy (government, donors, agribusinesses, financial institutions)?
👥 Who are the intended beneficiaries of the insurance product?
Potential answers: smallholder farmers, farmer cooperatives, individual commercial farmers
🗺️ Which regions and crops will the insurance product cover?
📈 What is the proposed index-insurance type?
Is it weather-based, area-yield, or a hybrid?