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Disposition à payer l’assurance agricole basée sur les indices climatiques au Sénégal
Abstract
Au Sénégal, l’assurance agricole basée sur les indices climatiques est en phase pilote depuis 2013, offrant une couverture contre les chocs dus aux déficits pluviométriques dans l’agriculture de rente et dans celle de subsistance. Avec un échantillon de 133 assurés et non-assurés, cet article effectue une évaluation contingente et une estimation des facteurs qui influencent la disposition des producteurs à payer pour s’assurer. Les résultats d’une régression logistique ordonnée montrent que les producteurs de la zone ayant un revenu supérieur, ceux ayant accès au crédit et ceux avec expérience de l’assurance ont les dispositions à payer les plus élevées.
... Une faible couverture d'assurance suscite donc des problèmes qui diffèrent selon les régions et nécessitent une évaluation plus approfondie. Ce concept a été largement utilisé dans la littérature ces dernières années (Aguida et al., 2021 ;Fnitiz, 2023 ;Hountondji et al., 2018Hountondji et al., et 2019Syll et Weingärtner, 2017). Cependant, leur adoption reste très faible. ...
L'agriculture est un enjeu économique et de sécurité alimentaire pour la plupart des pays en
développement. Cependant, si le secteur est exposé à de nombreux aléas, notamment ceux liés aux
facteurs climatiques, l'assurance agricole s'est imposée comme une option de filet de sécurité afin de
protéger le bien-être des agriculteurs. Cependant, par rapport aux autres continents comme Europe,
Amérique latine et Asie, le taux d'adoption de l'assurance agricole par les agriculteurs et les éleveurs
en Afrique est faible. La synthèse bibliographique a été à partir de 85 publications scientifiques récentes
inventoriées dans les moteurs de recherche (scopus, google scholar et Web of science) sur l’assurance
indicielle afin de ressortir la perception, les facteurs d’adoption et son impact pour sa mise à l’échelle,
ainsi que les facteurs d’ordre sociodémographiques (l’âge, le sexe, le niveau d’éducation et la religion),
économique (le revenu de l’agriculteur) et techniques (la connaissance de l’objet de l’assurance, les
modes de sensibilisation, la participation des producteurs et surtout des agriculteurs à l’évaluation, etc.)
qui déterminent l’adoption de l’assurance indicielle. La synthèse bibliographique attire l’attention sur le
fait d’impliquer la gent féminine qui est laissée pour compte, de développer les programmes
d’alphabétisation et de rendre palpable la participation des gouvernements locaux et des agriculteurs
en les plaçant au coeur du processus d’adoption. Il sera nécessaire de subventionner tout en proposant
des services d'assurance adaptés et collaboratifs, en tenant compte des profils des agriculteurs et de
leur environnement.
Mots clés : Perception de l’assurance, Assurance de l’agriculture indicielle, Adoption de l’assurance,
Impact de l’assurance, revue systématique
... However, several other results show that access to credit can have a positive effect on the demand for insurance [8] [12]. For example, in a study conducted in Senegal it has been shown that access to credit could increases WTP for crop insurance by small farmers, [13]. ...
This work uses a contingent valuation and a factor analysis to respectively measure pastoralists' willingness to pay (WTP) and characterize their profile in the context of Senegal. Using primary data on 300 pastoralists, our results show that 50% of the respondents are ready to pay at least 3000 CFA (around 6 USD) to insure against forage shortage due to drought, no matter the animal considered (cattle, sheep, or goat) or the type of contract proposed to them (coverage of 1 animal, 5 most important animals or the entire herd). Pastoralists who declared a higher level of WTP are not the wealthiest or the most exposed to shocks among the pastoralists in our sample.
... One bank in Ghana, for example, has experienced increases in client deposits when life insurance has been tied to a specific savings balance (Matul et al., 2013). In Senegal, where farmer organisations channel both insurance provision and loans, access to credit has previously been found to be the most important driver of producers' willingness to pay for a WII product (Syll and Weingärtner, 2018). ...
... (1) integrating the collateral as a necessary condition to access the loan and by (2) index-based insurance which enables them to cover the credit contracted during the agricultural season against climate risks such as rainfall variability (Syll and Weingaertner, 2018). ...
Access to financial services is challenging for small farmers in developing countries. This paper studies the demand for micro-insurance when it is bundled with micro-credit in a context of rain-fed agriculture. It presents the conditions under which linking micro-insurance with Micro-credit can be beneficial for small producers who cannot access agricultural credit due to lack of collateral. The results show that if crop insurance and agricultural loans are bundled, the demand for crop insurance increases with the profitability of the investment made through the agricultural credit, and it decreases with the level of collateral required during the application for credit.
This study has two objectives: to characterize farmers according to their level of financial risk aversion and to analyze the factors explaining their propensity to take financial risk. Using a lottery system inspired by the work of Allais (1953) on 540 farmers in the groundnut basin of Senegal, the results show that 81.38 % of farmers are financially risk averse and only 8.57 % are risk lovers. Estimates with the probit model show that the propensity to take financial risk decreases if the farmer sets himself a high tolerable level of production loss. These results suggest that demand components should be considered in public agricultural financing and insurance policies.
Individual crop insurance has been largely abandoned in developing countries and replaced by insurance pilots based on weather indices. These pilot schemes have encountered low demand. Research suggests that better-off farmers may already be insured via income diversification, their assets and social networks, and may achieve profit-maximising portfolios without formal insurance contracts. They would be interested in such contracts only if they reliably reduced their exposure to risk at lower costs than their self-insurance mechanisms. Conversely, poor farmers are not able to self-insure adequately, have to trade-off returns for reduced risk and could, therefore, benefit from a well-designed insurance. But they are cash/credit constrained and, therefore, cannot advance the money before sowing time to buy insurance that pays out only after the harvest. Index insurance, therefore, cannot be scaled up. Even if a few farmers purchase it, governments still will need to run relief programmes for the uninsured. Standard ways suggested to improve the index insurance, such as reducing basis risks, educating farmers and improving weather data, do not improve the ability of small farmers to purchase insurance and may not improve product design sufficiently to be competitive with self-insurance of the better-off farmers.
The objective of this paper is to frame the key issues and summarize the current state of knowledge about and innovations in index-based risk transfer products (IBRTPs) as they relate to the management of climate risk for poverty reduction, especially of chronic or persistent poverty. In the past several years, interest in and experimentation with weather index insurance and other IBRTPs has grown rapidly. Though no one should expect that these innovations alone can solve the problem of chronic poverty, index-based financing opens up a range of intriguing possibilities. The remainder of this paper is comprised of five major sections that discuss: 1) how weather risks and climate shocks impact the poor in developing countries; 2) the concept of poverty traps, highlighting how conventional risk management strategies typically do not work well for managing covariate weather risk; 3) the limitations and opportunities of financial innovations using index-based risk transfer products (IBRTPs) for reducing or transferring weather risks and climate shocks; 4) a poverty traps-based typology of IBRTPs; 5) key remaining challenges in developing and implementing index-based risk financing for use in the global struggle to end chronic poverty.
Empirical evidence that migrants send home more remittances after disasters raises the question of whether remittances can be used to self-insure, substituting for both formal and informal insurance. We investigate this question using a unique data set on the usage patterns of financial services by households in South Africa. We show that the likelihood that a respondent has a formal funeral cover increases with income and banking status. However, it is lower for individuals receiving remittances, which supports the idea that remittances act as (self-) insurance. We also show that purchasing formal funeral cover is influenced by other risk management strategies and that determinants of informal insurance differ from those of formal insurance.
The author considers the benefit to agricultural producers of commodity price insurance that provides in every year-but in advance of the resolution of production and price uncertainty-a minimum price for a fixed or variable portion of production. Under the assumption that producers do not change their long term production and income diversification pattern, the author suggests a theoretical framework that leads to explicit formulas of the benefit in providing this type of insurance. He shows that this benefit depends not only on the actuarially fair insurance premium, but also on household-specific factors that depend on the attitudes to risk, the consumption smoothing parameters, and the household-specific exposures to income risks. The author applies the theoretical framework for Ghana, using the Ghana Living Standards Survey data to specify various classes of cocoa-producing households and monthly price data for both domestic and international prices, to formulate appropriate models for ascertaining price risks faced by producers. The author gives empirical estimates of the actuarially fair premium, and shows that they are smaller than market-based put option prices from organized exchanges. The overall benefit in providing minimum price insurance to households, however, turns out to be substantially higher than the actuarially fair premiums and the market-based put option prices. This is due to both the magnitude of the uncertainties facing the households, as well as their risk and consumption smoothing behavior.
The Environmental Stewardship Scheme provides payments to farmers for the provision of environmental services based on agricultural foregone income. This creates a potential incentive compatibility problem which, combined with an information asymmetry on farm land heterogeneity, could lead to adverse selection of farmers into the scheme. However, the Higher Level Scheme (HLS) design includes some features that potentially reduce adverse selection. This paper studies the adverse selection problem of the HLS using a principal agent framework at the regional level. It is found that, at the regional level, the enrolment of more land from lower payment regions for a given budget constraint has led to a greater overall contracted area (and thus potential environmental benefit) which has had the effect of reducing the adverse selection problem. In addition, for landscape regions with the same payment rate (i.e. of the same agricultural value), differential weighting of the public demand for environmental goods and services provided by agriculture (measured by weighting an environmental benefit function by the distance to main cities) appears to be reflected into the regulator’s allocation of contracts, thereby also reducing the adverse selection problem.
Farmers are required to make decisions under uncertainty and use different coping strategies for survival. Since they do not have control over weather calamities, pests and diseases, there is a need to mitigate damage due to climatic changes and others uncertainties in production. Crop insurance is one of the most important instruments from a financial management perspective. The main objective of this study is to determine the farmers' willingness to pay (WTP) for crop insurance scheme in Selangor Integrated Agricultural Development Area (IADA), Malaysia. Primary data were collected through personal interview with 286 paddy farmers. The WTP was estimated through Contingent Valuation Method (CVM), using logistic model. The results show that the mean WTP value of RM 76.57 per RM 1000 protection coverage per crop season and this is equivalent to 7.6% of the total protection coverage. The results of the study show that age, farm size and price are significant factors influencing willingness to pay for the insurance scheme. The discussion suggests the need for the policy makers and stakeholders to finance the scheme; this will increase the paddy producer’s confidence toward production, which in turn will improve both their livelihood and national productivity in general. © 2014, International Society for Southeast Asian Agricultural Sciences. All rights reserved.
Résumé La méthode d’évaluation contingente est un outil de la science économique imaginé dans les années 1950 aux États-Unis pour mesurer la valeur monétaire de ce qui est d’ordinaire non marchand. Objet d’une forte controverse scientifique mais porté par un climat social et politique favorable, son usage dans les politiques publiques d’environnement s’est largement répandu dans la plupart des pays industrialisés.
Analysis of long-term daily rainfall data for 58 locations in the Southern Sahelian and Sudanian climatic zones of West Africa showed that a significant relationship exists between the date of onset of rains and the length of the growing season. Early onset of rains, relative to the computed mean date of onset for a given location, resulted in a longer growing season. Probabilities of growing season lengths for early, normal and delayed onset of rains have been computed for all the locations. This analysis has important applications in crop planning as well as disaster planning and forms an initial step in concepts such as “Response Farming” or “Weather-responsive Crop Management Tactics” for drought-prone West Africa.
Index-based weather insurance is a major institutional innovation that could revolutionize access to formal insurance for millions of smallholder farmers and related individuals. It has been introduced in pilot or experimental form in many countries at the individual or institutional level. Significant efforts have been made in research to assess its impacts on shock coping and risk management, and to contribute to improvements in design and implementation. While impacts have typically been positive where uptake has occurred, uptake has generally been low and in most cases under conditions that were not sustainable. This paper addresses the reasons for this current discrepancy between promise and reality. We conclude on perspectives for improvements in product design, complementary interventions to boost uptake, and strategies for sustainable scaling up of uptake. Specific recommendations include: (1) The first-order importance of reducing basis risk, pursuing for this multiple technological, contractual, and institutional innovations. (2) The need to use risk layering, combining the use of insurance, credit, savings, and risk-reducing investments to optimally address different categories of risk. For this, these various financial products should be offered in a coordinated fashion. (3) Calling on a role for state intervention on two fronts. One is the implementation of public certification standards for maximum basis risk of insurance contracts; the other is "smart" subsidies for learning, data accumulation, initial re-insurance, and catastrophic risks. (4) Using twin-track institutionallevel index insurance contracts combined with intra-institution distribution of payouts to reduce basis risk and improve the quality of insurance. For this, credible intra-institutional rules for idiosyncratic transfers must be carefully designed. Finally (5), the need for further research on the determinants of behavior toward risk and insurance, the design of index-based insurance products combined with others risk handling financial instruments, and rigorous impact analyses of on-going programs and experiments.
In Pakistan, agriculture is vulnerable to multiple risks, especially in the rain-fed areas. The crop insurance can serve as a useful tool to manage risks in the rain-fed areas of Pakistan. This study has assessed farmers' willingness to pay for insurance in the rain-fed areas of Pakistan by conducting a survey of 531 farmers in the Soon valley and Talagang areas of Pakistan. The farmers' willingness to pay for the index based crop insurance has been studied by employing the different econometric models. It has been found that these rain-fed areas consider indexed based insurance to be an important risk management strategy. The empirical results have indicated that farmers' economic status, household assets and membership of community organization are the important determinants of their willingness to pay a higher insurance premium. The propensity score matching results have revealed that farmers were satisfied with index based insurance and were also willing to increase the area under food as well as cash crops. This study has suggested that to make agricultural insurance scheme more successful, the government should provide subsidy which will help in increasing the area under food and cash crops and shall ensure food security in the region.
Microfinance institutions have started to bundle their basic loans with other financial services, such as health insurance. Using a randomized control trial in Karnataka, India, we evaluate the impact on loan renewal from mandating the purchase of actuarially-fair health insurance covering hospitalization and maternity expenses. Bundling loans with insurance led to a 16 percentage points (23 percent) increase in drop-out from microfinance, as many clients preferred to give up microfinance than pay higher interest rates and receive insurance. In a Pyrrhic victory, the total absence of demand for health insurance led to there being no adverse selection in insurance enrollment.
Why do many households remain exposed to large exogenous sources of non-systematic
income risk? We use a series of randomized field experiments in rural India to test the
importance of price and non-price factors in the adoption of an innovative rainfall
insurance product. We find demand is significantly price-elastic, but that even if
insurance were offered with payout ratios similar to US, widespread coverage would not
be achieved. We then identify key non-price frictions that limit demand: liquidity
constraints, particularly among poor households, lack of trust, and limited salience. We
suggest potential improvements in contract design to mitigate these frictions.
Much has been written on the determinants of technology adoption in agriculture, with issues such as input availability, knowledge and education, risk preferences, profitability, and credit constraints receiving much attention. This paper focuses on a factor that has been less well documented: the differential ability of households to take on risky production technologies for fear of the welfare consequences if shocks result in poor harvests. Building on an explicit model, this is explored in panel data from Ethiopia. Historical rainfall distributions are used to identify consumption risk. Controlling for unobserved household and time-varying village characteristics, it emerges that not just ex ante credit constraints, but also the possibly low consumption outcomes when harvests fail, discourage the application of fertilizer. The lack of insurance or alternative means of keeping consumption smooth leaves some trapped in low return, lower risk agriculture, one of the mechanisms through which poverty perpetuates itself in agrarian settings.
Does production risk suppress the demand for credit? We implemented a randomized field experiment to ask whether provision of insurance against a major source of production risk induces farmers to take out loans to adopt a new crop technology. The study sample was composed of roughly 800 maize and groundnut farmers in Malawi, where by far the dominant source of production risk is the level of rainfall. We randomly selected half of the farmers to be offered credit to purchase high-yielding hybrid maize and groundnut seeds for planting in the November 2006 crop season. The other half of farmers were offered a similar credit package, but were also required to purchase (at actuarially fair rates) a weather insurance policy that partially or fully forgave the loan in the event of poor rainfall. Surprisingly, take-up was lower by 13 percentage points among farmers offered insurance with the loan. Take-up was 33.0% for farmers who were offered the uninsured loan. There is suggestive evidence that reduced take-up of the insured loan was due to farmers already having implicit insurance from the limited liability clause in the loan contract: insured loan take-up was positively correlated with farmer education, income, and wealth, which may proxy for the individual's default costs. By contrast, take-up of the uninsured loan was uncorrelated with these farmer characteristics.
Thesis (Ph. D)--Harvard University, 1963.
The elbow and forearm function as a unified structure to provide a stable, strong, and highly mobile strut for positioning of the hand in space and for conducting certain load-bearing tasks. An understanding of elbow and forearm anatomy is crucial to the surgeon evaluating and treating complex pathologies resulting from acute or remote trauma. Further, an appreciation of the biomechanics of multiplanar elbow motion, forearm rotation, and combined load transfer assists all surgeons treating upper extremity pathology. This article summarizes the practical elements of elbow and forearm anatomy and mechanics by describing the pertinent laboratory findings in the context of clinical practice.
How sensitive is long-run individual well-being to environmental conditions early in life? This paper examines the effect of weather conditions around the time of birth on the health, education, and socioeconomic outcomes of Indonesian adults born between 1953 and 1974. We link historical rainfall for each individual's birth-year and birth-location with current adult outcomes from the 2000 wave of the Indonesia Family Life Survey. Higher early-life rainfall has large positive effects on the adult outcomes of women, but not of men. Women with 20% higher rainfall (relative to normal local rainfall) in their year and location of birth are 3.8 percentage points less likely to self-report poor or very poor health, attain 0.57 centimeters greater height, complete 0.22 more grades of schooling, and live in households that score 0.12 standard deviations higher on an asset index. These patterns most plausibly reflect a positive impact of rainfall on agricultural output, leading to higher household incomes and food availability and better health for infant girls. We present suggestive evidence that eventual benefits for adult women's socioeconomic status are most strongly mediated by improved schooling attainment, which in turn improves socioeconomic status in adulthood.
This paper utilizes panel data from rural India to examine how the composition of asset holdings varies across farme rs with different levels of total wealth and across farmers facing different degrees of weather risk. In particular, the riskiness of farmers' asset portfolios are measured in terms of their sensitivity to weather variation and a test is developed and implemented of risk aversion based on the association between the average returns to individual production assets and their sensitivity to weather variability. How the responsiveness of portfolio riskiness and farm profitability to the influence of exogenous weather risk varies with wealth is also estimated. Copyright 1993 by Royal Economic Society.
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Patterns of Rainfall Insurance Participation in Rural India
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Willingness to Pay for Rainfall Risk Insurance by Smallholder Farmers in Central Rift Valley of Ethiopia : The Case of Dugda and Mieso Districts
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The Demand for Microinsurance : A Literature Review, ILO (International Labor Organization) Microinsurance Innovation Facility Research Paper
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