Group-based Funeral Insurance in Ethiopia and Tanzania
AbstractA funeral is a costly occasion. This paper studies indigenous insurance institutions developed to cope with the high costs of funerals, based on evidence from rural areas in Tanzania and Ethiopia. These institutions are based on well-defined rules and regulations, often offering premium-based insurance for funeral expenses. Increasingly, they are also offering other forms of insurance and credit to cope with hardship. The paper argues that the characteristics and inclusiveness of these institutions make them well-placed as models to broaden insurance provision and other developmental activities in these communities. The history of these institutions is characterised by a resistance to attempts of political capture, and helps to understand their apparent resistance to engage more broadly with NGOs and government agencies. As a result, any attempt to expand their activities will have to be done cautiously.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Centre for the Study of African Economies, University of Oxford in its series CSAE Working Paper Series with number 2004-27.
Date of creation: 2004
Date of revision:
Risk-Sharing; Insurance; Africa; Ethiopia; Tanzania;
Other versions of this item:
- Dercon, Stefan & De Weerdt, Joachim & Bold, Tessa & Pankhurst, Alula, 2006. "Group-based funeral insurance in Ethiopia and Tanzania," World Development, Elsevier, vol. 34(4), pages 685-703, April.
- O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
- G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies
- Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Social and Economic Stratification
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Coate, Stephen & Ravallion, Martin, 1993. "Reciprocity without commitment : Characterization and performance of informal insurance arrangements," Journal of Development Economics, Elsevier, vol. 40(1), pages 1-24, February.
- Fafchamps, Marcel & Lund, Susan, 2003.
"Risk-sharing networks in rural Philippines,"
Journal of Development Economics,
Elsevier, vol. 71(2), pages 261-287, August.
- Robert M. Townsend, .
"Risk and Insurance in Village India,"
University of Chicago - Population Research Center
91-3a, Chicago - Population Research Center.
- Mariam, Damen Haile, 2003. "Indigenous social insurance as an alternative financing mechanism for health care in Ethiopia (the case of eders)," Social Science & Medicine, Elsevier, vol. 56(8), pages 1719-1726, April.
- Jonathan Morduch, 1995.
"Income Smoothing and Consumption Smoothing,"
Harvard Institute of Economic Research Working Papers
1727, Harvard - Institute of Economic Research.
- Ethan Ligon & Jonathan P. Thomas & Tim Worrall, 2002.
"Informal Insurance Arrangements with Limited Commitment: Theory and Evidence from Village Economies,"
Review of Economic Studies,
Oxford University Press, vol. 69(1), pages 209-244.
- Ligon, Ethan & Thomas, Jonathan P & Worrall, Tim, 2002. "Informal Insurance Arrangements with Limited Commitment: Theory and Evidence from Village Economies," Review of Economic Studies, Wiley Blackwell, vol. 69(1), pages 209-44, January.
- Robert M. Townsend, 1995. "Consumption Insurance: An Evaluation of Risk-Bearing Systems in Low-Income Economies," Journal of Economic Perspectives, American Economic Association, vol. 9(3), pages 83-102, Summer.
- Ghatak, Maitreesh, 1999. "Group lending, local information and peer selection," Journal of Development Economics, Elsevier, vol. 60(1), pages 27-50, October.
- Jonathan Morduch, 1999. "The Microfinance Promise," Journal of Economic Literature, American Economic Association, vol. 37(4), pages 1569-1614, December.
- Besley, T., 1993.
"Savings, Credit and Insurance,"
167, Princeton, Woodrow Wilson School - Development Studies.
- Stefan Dercon, 2002.
"Income Risk, Coping Strategies, and Safety Nets,"
World Bank Research Observer,
World Bank Group, vol. 17(2), pages 141-166, September.
- Stefan Dercon, 2000. "Income risk, coping strategies and safety nets," CSAE Working Paper Series 2000-26, Centre for the Study of African Economies, University of Oxford.
- Dercon, Stefan, 2002. "Income Risk, Coping Strategies and Safety Nets," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Grimard, Franque, 1997. "Household consumption smoothing through ethnic ties: evidence from Cote d'Ivoire," Journal of Development Economics, Elsevier, vol. 53(2), pages 391-422, August.
- De Weerdt, Joachim, 2002. "Risk-Sharing and Endogenous Network Formation," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Coetzee, Gerhard K. & Cross, Catherine, 2002. "Group Approaches To Financial Service Provision In Rural South Africa," Working Papers 18042, University of Pretoria, Department of Agricultural Economics, Extension and Rural Development.
- Stefan Dercon & Pramila Krishnan, 2000. "Vulnerability, seasonality and poverty in Ethiopia," The Journal of Development Studies, Taylor and Francis Journals, vol. 36(6), pages 25-53.
- Erlend Berg, 2011. "Funeral insurance," CSAE Working Paper Series 2011-16, Centre for the Study of African Economies, University of Oxford.
- Fafchamps, Marcel & La Ferrara, Eliana, 2011.
"Self-Help Groups and Mutual Assistance: Evidence from Urban Kenya,"
CEPR Discussion Papers
8452, C.E.P.R. Discussion Papers.
- Marcel Fafchamps & Eliana La Ferrara, 2012. "Self-Help Groups and Mutual Assistance: Evidence from Urban Kenya," Economic Development and Cultural Change, University of Chicago Press, vol. 60(4), pages 707 - 733.
- Marcel Fafchamps & Eliana La Ferrara, 2011. "Self-help groups and mutual assistance: Evidence from urban Kenya," Working Papers 401, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
- Patrick Honohan & Thorsten Beck, 2007.
"Making Finance Work for Africa,"
World Bank Publications,
The World Bank, number 6626, April.
- Raphael Nawrotzki & Thomas W. Dickinson & Lori Hunter, 2012. "Natural resources and rural livelihoods," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 26(24), pages 661-700, June.
- Jaimovich, Dany, 2011. "Macrostructure and microstructure: Evidence from overlapping village networks in The Gambia," MPRA Paper 38932, University Library of Munich, Germany.
- Dercon, Stefan & Hoddinott, John & Krishnan, Pramila & Woldehannnam, Tassew, 2008.
"Collective action and vulnerability: Burial societies in rural Ethiopia,"
CAPRi working papers
83, International Food Policy Research Institute (IFPRI).
- Stefan Dercon & John Hoddinott, 2007. "Collective action and vulnerability: Burial societies in rural Ethiopia," Economics Series Working Papers GPRG-WPS-076, University of Oxford, Department of Economics.
- Daniel J. Clarke, 2011. "Reinsuring the Poor: Group Microinsurance Design and Costly State Verification," Economics Series Working Papers 573, University of Oxford, Department of Economics.
- Orazio Attanasio & Abigail Barr & Juan Camilo Cardenas & Garance Genicot & Costas Meghir, 2012.
"Risk Pooling, Risk Preferences, and Social Networks,"
American Economic Journal: Applied Economics,
American Economic Association, vol. 4(2), pages 134-67, April.
- Garance Genicot, Orazio Attanasio, Abigail Barr, Juan Camilo Cardenas and Costas Meghir, 2011. "Risk Pooling, Risk Preferences, and Social Networks," Working Papers gueconwpa~11-11-05, Georgetown University, Department of Economics.
- Orazio Attansio & Abigail Barr & Juan Camilo Cardenas & Garance Genicot & Costas Mehgir, 2009. "Risk Pooling, Risk preferences, and Social Networks," CSAE Working Paper Series 2009-20, Centre for the Study of African Economies, University of Oxford.
- Mazzucato, Valentina, 2009. "Informal Insurance Arrangements in Ghanaian Migrants' Transnational Networks: The Role of Reverse Remittances and Geographic Proximity," World Development, Elsevier, vol. 37(6), pages 1105-1115, June.
- Hill, Ruth Vargas & Hoddinott, John & Kumar, Neha, 2011. "Adoption of weather index insurance: Learning from willingness to pay among a panel of households in rural Ethiopia," IFPRI discussion papers 1088, International Food Policy Research Institute (IFPRI).
- Daniel Clarke & Sefan Dercon, 2009. "Insurance, Credit and Safety Nets for the Poor in a World of Risk," Working Papers 81, United Nations, Department of Economics and Social Affairs.
- Deepa Narayan & Lant Pritchett & Soumya Kapoor, 2009. "Moving Out of Poverty : Volume 2. Success from the Bottom Up," World Bank Publications, The World Bank, number 11838, April.
- Christiaensen, Luc & Hoffmann, Vivian & Sarris, Alexander, 2007. "Gauging the welfare effects of shocks in rural Tanzania," Policy Research Working Paper Series 4406, The World Bank.
- Fabien MOIZEAU & Fernando JARAMILLO & Hubert KEMPF, 2011. "Heterogeneity and the Formation of Risk-Sharing Coalitions," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201111, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
- Bhattamishra, Ruchira & Barrett, Christopher B., 2010. "Community-Based Risk Management Arrangements: A Review," World Development, Elsevier, vol. 38(7), pages 923-932, July.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Richard Payne).
If references are entirely missing, you can add them using this form.