The Impact of Index Based Livestock Insurance on the Livelihoods of Pastoralists: The Case of Borana, Moyale Woreda
No Thumbnail Available
Date
2022-05
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
The aim of the research was to assess the impact of Index Based Livestock Insurance on the livelihoods of the pastoralists. The study was conducted in Moyale woreda, Borana zone, Oromia regional state. The required data set forth for the study was obtained from primally, the survey questioners from 95 respondents randomly selected households, from both non-insured and insured. A cross sectional mixed research was adopted as it involves qualitative and quantitative research methods. The data were collected though both open-ended and closed ended structured interview, focus group discussion and key informant interview methods. Secondary data were collected from reports and other documents. To analyze the qualitative data, descriptive, inferential statistical tools and econometric models were used. Though it is not statistically significant, the insured household’s income was found to be higher as compared to their non-insured counter parts, it had positive impact as a drought risk management practice, as traditional coping strategies were no longer dependable and the insured pastoralists were able to buy feeds, water and were able to get treatment for their sick herds. Most importantly, none of the insured households were looking for aid as a traditional coping strategy and migration was found to be the last option. However, the premium rate of the product was found to be on the higher side and government has to provide a subsidy. To upscale the product the, quality of the product and agricultural insurance policy found to have a profound effect. It is highly recommended that ILRI and OIC should work on the product quality improvement and at the same time government should work on to put in place the agricultural insurance policy and should work on awareness creation and com unity mobilization activities at the same time.
Description
Keywords
Index Based Livestock Insurance, Livelihoods