Suchergebnisse

The lowest level of population pyramid is the segment, consisting of more than 3.5 billion of people. These people earn less than Rs.200 a day and are termed as poor or low income people. Due to insufficient income and inadequate savings these people mainly face two types of risks: (i) related to property and (ii) related to body. These people constitute an untouched market of insurance but given proper guidance, proper channels and right products, even they can form a significant part of the insurance market in terms of demand. To boost this segment to purchase insurance policies is to facilitate them with a product in which the terms and conditions are modified to suit their needs. This product is capable to tap the rural market and is called 'Micro insurance'. The article also stresses the obstacles faced and the benefits of the same.Microinsurance is a tool for increasing economic growth and development by providing small scale, low premium insurance policies to members of the poorest strata of society in the developing world. In this paper, I will be focusing on the ways in which micro insurance programs, Micro-insurance delivery models, how government helps, Micro insurance Products, Challenges and suggestions.

Microfinance is it self one of the most important, remarkable phenomenon in developing the socio economic environment of the poor. Because of their poor socio and economic background most of the financial institutions thought that poor are not bankable. Microfinance has proved that these poor can be made credit worthy if they are organized in small groups.Microinsurance is the term used to refer the insurance to the low income people as it is different from insurance in general where microinsurance is a low value product with less premium and benefits.Microinsurance can boost resources for the rural poor, governments and private sector. The entire economy gains as the insurance industry matures further as well. There is a need for microinsurance in Indias poverty reduction strategy.Microinsurance is a tool for investment, savings and as a measure of social security. It increases the livelihood of the poor where they can eat well, have good health since they wouldnt have to save as much for emergencies.

In India, healthcare financing largely relies on direct out-of-pocket spending, which causes immense health-related financial burdens for the poor. Despite recent efforts by the government and the private sector, only 15 percent of the population in India is covered by health insurance. The Micro Insurance Academy (MIA) extends health insurance at the last mile through a bottom-up approach to the design, implementation and management of community-based health insurance. MIA develops an understanding of each community and delivers customized tools and frameworks that build a community's capacity to self-manage micro insurance schemes. MIA bridges the gap between insurers and the bottom of the pyramid by providing advisory support and insurance education to establish insurance schemes. To date, MIA-supported micro insurance schemes cover more than 40,000 people in India and Nepal.

The purpose of this study is to identify the factors influencing penetration of micro-insurance in Ethiopian insurance companies. The study adopts a cross-sectional quantitative technique with descriptive and analytical design based on primary data sampled using non probability sampling from 110 executive managements of five insurance companies providing microinsurance and nine years data from the same companies. Five (5) key factors affecting microinsurance penetration in Ethiopia are identified. The Multiple Linear regression model was used for analyising regression results and all relevant diagnostic tests were conducted to validate results. Empirical investigation using the Multiple Linear regression model indicates client awareness, income Level and trust having positive and significant impact on microinsurance penetration rate. Whereas product Price of microinsurance have negative and significant impact on microinsurance penetration rate. The study therefore recommends, amongst other things, intensive awareness creation campaign by all stakeholders about microinsurance product and its benefit among low income people, setting price that does not compromise the ability of clients to pay for essential items such as food and shelter, build trust and provide incentive like tax exemption on microinsurance transaction for provider and put coercive low for non provider to participate in providing microinsurance products taking in to consideration the double advantages that it has in protecting the poor from unexpected loss and alleviating poverty. In addition the government must integrate micro insurance program into its grand strategy in poverty reduction and Growth and transformation plan in striving to become middle income country by 2025.

Purpose – The purpose of this study was to, using a case study research design informed by organizational economics theory, to examine the prospects for micro-insurance in promoting micro-credit in a low-income Anglophone country in sub-Saharan Africa – The Gambia. Two main research questions are addressed: first, what is the most appropriate micro-finance institution (MFI) organizational structure to maximize the economic benefits of micro-insurance? Second, what are the financial management and wider economic benefits of the use of micro-insurance by MFIs? Design/methodology/approach – To address our two research questions, we used a semi-structured interview protocol, informed by the organizational economics literature, to interpret the data collected from our field cases. We believe that these intrinsic qualities of case study methodology are particularly apt in the present study, given the complex and emergent nature of micro-finance and micro-insurance in low-income countries such The Gambia. By focusing on case studies in a single country, we also to some extent help control for variations in business environment that could confound interpretations of field data obtained from different jurisdictions. Findings – The results of our study suggest that the mutual (cooperative) structure of credit unions is likely to be the most cost-efficient and effective organizational form for reducing information asymmetries, agency problems and transaction costs. We also observe that micro-insurance can help reduce the risk of loan defaults, thereby increasing returns on savings and lowering the costs of debt. As such, micro-insurance stimulates the demand–supply of financial intermediation in less developed countries and so helps promote economic development. In addition to contributing new insights, our findings have potentially important commercial and public policy implications. Research limitations/implications – We acknowledge that our research is subject to inherent limitations such as the focus on three interviews in three different types of MFI organization while excluding other structural forms of organization such as government-owned/sponsored organizations. Nonetheless, the organizational characteristics of the cases examined in the present study are representative of most MFIs in developing countries. Given the prevalent hierarchical nature of corporate systems in sub-Saharan Africa, the views of the interviewees are also deemed to reflect those of other board members. Nonetheless, we acknowledge that the conclusions from our research may need to be tempered in line with these inherent limitations with the research approach adopted. Practical implications – The insights obtained from our Gambia-based research could be generalized to developing countries elsewhere in sub-Saharan Africa, and indeed, other parts of the developing world. Consequently, the study could be of interest and relevance to international financiers (e.g. the World Bank), aid agencies, governments and other development organizations. Originality/value – Despite its evident business and development potential, academic management research on micro-insurance, and in particular, its role in supporting micro-finance initiatives, is still very much at an embryonic stage. Our study thus seeks to fill this knowledge gap.

Lists some 40 schemes, grouped under the headings Co-operatives, Mutual Benefit Associations, Microfinance Institutions, and Other. Draws conclusions regarding ownership profile, membership and beneficiaries, informal sector participation, gender disaggregation, risk coverage, products and services, etc. Appends the questionnaire used in the survey