By Henry Uche
Leadway Assurance has launched Index-Based Livestock Insurance (IBLI), a ground breaking product capable of reshaping the Nigerian insurance landscape. This innovative insurance offering will enhance the agricultural sector and provide unprecedented climate-smart risk management support to Nigerian livestock farmers, cattle herders and pastoralists.
Index-Based Livestock Insurance is a unique insurance product that relies on real-time data and indices, such as weather pat- terns and livestock health indicators, to determine compensation for farmers in the event of losses. This approach eliminates the need for lengthy claims processes and ensures that farmers receive swift and fair compensation when needed. It marks a significant departure from traditional insurance methods and sets a new standard for agricultural insurance in Nigeria.
The livestock insurance cover and its delivery mechanism is a comprehensive insurance cover that seeks to protect poor, vulnerable pastoralists’ households against loss of grasslands due to climate change related risks such as droughts and degradation of vegetation along with unexpected events that may result in the death of the livestock.
The Head of Agric. Insurance at Leadway, Mr. Fatona Ayoola, in excitement said, “The introduction of IBLI is truly a game- changer for Nigerian farmers involved in the livestock production value chain. For long, our farmers have been exposed to unpredictability of our weather conditions, attributable to climate change and other unforeseen incidents that can devastate their livestock, thereby affecting their livelihoods. This innovative product was designed to address the challenges of inadequate pasture/forage for the animals and provide investment and financial security to our livestock farmers, herders and pastoralists”
Similarly, MD/CEO of Leadway, Mr. Tunde Hassan-Odukale, maintained that the launch represented a pivotal moment in insurance industry’s history, noting that Leadway is redefining insurance product development in Nigeria by leveraging technology and big data to create solutions that directly address the needs of its clients.
“Index-Based Livestock Insurance is not only a testament to our commitment to innovation but also a testament to our dedi- cation to supporting the growth of Agriculture in Nigeria.
“By providing farmers with a reliable safety net through this product, we are not only mitigating risks but also fostering economic stability in the agricultural sector. As a company, we are proud to be at the forefront of this transformation, and we firmly believe that this innovative approach will drive progress and prosperity for Nigerian farmers.” Hassan-Odukale affirmed.