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DROUGHT INSURANCE: ARC SAYS 13 BILLION IN SENEGAL

novembre 6, 2019 by seye Leave a Comment

The Government of Senegal, the Start network and the technical partners will meet on 5-6 September 2019 to prepare the implementation plans (PDMO) for a synchronized and rapid launch of activities that have been agreed in advance, as defined in an emergency plan put in place to provide immediate assistance to people affected by the winter season in deficit.

Indeed, the government will receive a minimum payment of 22 million USD (approximately 13 billion FCFA) from the Insurance Company of the Pan African Mutual Risk Management (ARC Ltd) to cover the losses generated by the bad harvests caused by the severe rainfall deficits of the 2019 agricultural season.

Announcing the expected compensation payments, the leaders of the Pan African Mutual Risk Management Group reiterated the institution’s strong commitment to working with member states to strengthen resilience and reduce vulnerability to natural disasters in Africa.

« The vision of the African Union in establishing the ARC was to present a powerful value proposition that will help Member States to better understand their disaster risk profiles, to access viable early warning tools and to develop preparedness plan to protect the livelihoods of their vulnerable populations from predictable natural disasters, « said Mohamed Beavogui, UN Under-Secretary-General and Director General of the Pan-African Risk Management Mutual Institution. The Senegalese Government is an example of disaster risk management and has been involved in the ARC’s insurance pool since 2014. This is in line with the spirit of « the united Africa we want to build », he said. concluded.

Beginning in early August 2019, the Africa RiskView software, which forms the basis of the ARC parametric insurance model, alerted the government to irregular and insufficient rainfall in the western regions of the country and warned that as much as 964 000 people would be affected by the rainfall deficit this year. On the basis of previously agreed parameters, the number of persons indicated is greater than the threshold required to trigger the payment of insurance benefits by ARC Ltd.

The payment is expected before November 30th of this year, date fixed for the end of the agricultural campaign in Senegal. Of the 22 million USD, the government of Senegal will receive a minimum amount of 12 million USD, while its partner Replica, the Start network, a consortium of international NGOs that collaborate with the government, will receive the minimum balance of 10 million USD. This approach is in line with an existing policy signed with the Senegalese government for an early and rapid response to drought.

Commenting on this announcement, Mr. Abdoulaye NOBA, Director of Civil Protection and National Supervisor of the ARC program in Senegal, welcomed the transparency of the process and the speed of payments: « We were among the first countries to Adopt the Pan-African Risk Management Mutual’s mechanism for the protection of our population against recurrent droughts. This is the second time the Senegalese government has received compensation from the Insurance Company of Pan African Mutual Risk Management (ARC Ltd).

With the expected payments, we will have the resources to ensure that farmers and ranchers receive relief in a timely manner to better protect their livelihoods. « The planned disbursement will bring the total disbursements made by ARC Ltd to Government of Senegal to a minimum of 38 million USD since 2014.

The Pan African Risk Management Mutual is an innovative, cost-effective model that demonstrates that it is able to assist Member States in building their capacity to better plan, prepare for, and cope with extreme weather events and natural disasters. thus the food security of their populations. Since 2014, Member States have signed 32 insurance contracts worth US $ 73 million in premiums for cumulative insurance coverage of US $ 553 million to protect 55 million vulnerable people in participating African countries

The Pan African Risk Management Mutual is an innovative, cost-effective model that proves that it is able to assist Member States in building their capacity to better plan, prepare and respond to extreme weather events and natural disasters, ensuring thus the food security of their populations. Since 2014, Member States have signed 32 insurance contracts representing USD 73 million in premiums for cumulative insurance coverage of USD 553 million to protect 55 million vulnerable people in participating countries. today benefits from its expertise to help combat some of the biggest threats facing the continent, including outbreaks and outbreaks.

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Filed Under: Immobilier Automobiles en Afrique Tagged With: 13, ARC, BILLION, DROUGHT, INSURANCE, SAYS, Senegal

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