THE African Risk Capacity Insurance Limited, ARC Ltd, is to payout the sum of $738,835 to the government of the Republic of Côte d’Ivoire following the severe rainfall deficits experienced in the central region of the country for the 2019 agricultural season.
The impending payout will be applied to help vulnerable families to better cope with the harsh effects of the rainfall deficit and ensure sustenance through a contingency plan developed between African Risk Capacity Agency and Côte d’Ivoire government.
Cote d’Ivoire joined the ARC Ltd insurance risk pool in 2019. This payout will be the first made by the facility to the government of Côte d’Ivoire.
The government has disclosed that its officials will meet with relevant experts and other partners between 12 and 13 September 2019, to discuss modalities to ensure that the funds from the planned payout promptly reaches the most affected population in line with the Contingency Plan.
“The Government of Cote d’Ivoire has been consistent in its relationship with African Risk Capacity. The expected trigger for a payout to the country will, once again, validate ARC’s proof of concept and enable the government to timeously assist the affected population thereby significantly reducing vulnerability and promoting resilience”, said Dolika Banda, chief executive office, ARC Insurance Limited.
As early as July 2019, Africa RiskView, the software underpinning the ARC parametric insurance model, signaled irregular and insufficient rainfall in the central region of Cote d’Ivoire providing an early warning that an estimated 400 000 people will be affected by the rainfall deficit by the end of the season.
The end of agricultural season for Cote d’Ivoire central region is set for October 11.
Commenting on the announcement made by the ARC, Assahoré Jacques, director general of the Treasury and Public Accounting in Côte d’Ivoire and Supervisor of the ARC-CI programme, welcomed the vision of Alassane Ouattara, head of State, who believed very early in this mechanism, the implementation of which will enable the country’s populations affected by the rainfall deficit to benefit from this compensation.
“Early warning is key in the benefits we derive from our membership of African Risk Capacity. This is the first time we have received a payment from ARC Ltd and our officials and partners are ready to mobilize quickly in the affected region once the payments are made to ensure food security for the affected population,” he said.
With the support of the United Kingdom, Germany, Sweden, Switzerland, Canada, France, The Rockefeller Foundation and the United States, ARC assists AU Member States in reducing the risk of loss and damage caused by extreme weather events affecting Africa’s populations by providing, through sovereign disaster risk insurance, targeted responses to natural disasters in a more timely, cost-effective, objective and transparent manner. ARC is now using its expertise to help tackle some of the other greatest threats faced by the continent, including outbreaks and epidemics.
Since 2014, 32 policies have been signed by member States with US$73million paid in premiums for a cumulative insurance coverage of US$553million for the protection of 55 million vulnerable population in participating countries.
– Sept. 12, 2019 @ 12:45 GMT |