Insurance sector registers growth – IAZ

Wed, 07 Feb 2018 11:06:51 +0000

By MAILESI BANDA

THE Insurance Association of Zambia says the sector registered growth in 2017, due to the introduction of the weather index insurance cover among small-scale farmers.

IAZ, consumer education officer, Kambole Chituwo said the insurance sector in 2017 registered growth, and among the contributing factors was the registration of about 1000 farmers to Weather Index Insurance cover, which was attached to the Farmer Input Support Programme (FISP).

Mr. Chituwo said this had seen about 1 million farmers covered against weather related perils, for the loss of inputs.

He expressed hope that there would be an increased growth in 2018 as more farmers will be introduced to the programme.

“The sector has registered some growth, and one outstanding example is the Weather Index Insurance cover, which has been attached to the Farmer Input Support Programme (FISP) programme”.

“This has seen about 1 million farmers covered against weather related perils, for the loss of inputs. We hope that more farmers will be covered going forward,” he said.

And commenting on the recently launched National Financial Sector Development Policy and the National Financial Inclusion Strategy which is expected to run from 2017 to 2022, he said the policy underscores the importance of insurance as an essential ingredient for sustainable development.

He noted that with the policy in place they expect to see more interaction with different associations and umbrella bodies, to improve uptake of insurance products.

Mr. Chituwo said going forward there will be increased consumer education, which is a key pillar in the strategy adding that this will include initiatives like the Financial Literacy week and the Insurance week, in order to reach out to Zambians from all walks of life.

He explained that interest has been shown in insurance, especially after a number of challenges last year in terms of limited rainfall in some areas, fires in some trading areas and other concerns.

“We are confident that as we continue to interact with the public, more and more people will appreciate how important insurance is for their financial wellbeing,” he said.