IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/72480.html
   My bibliography  Save this paper

Inclusive Insurance Sector: An Innovation business model for Microinsurance Delivery in Sri Lanka

Author

Listed:
  • Heenkenda, Shirantha

Abstract

The main objective of this study is to explore the feasibility of farmers’ organizations (FOs) as a vehicle for microinsurance delivery for paddy crop cultivated by small-scale (peasant) farmers in Sri Lanka. Ampara district, on Sri Lanka’s eastern plain was selected to conduct the field survey. Factor Analysis is used to elicit the group dynamic and capacity of FOs as a stakeholder of the insurance supply chain. The results show that the farmers’ organization is most widespread and very close institutional setup for paddy farmers. FOs are capable of handling financial activities with transparency, and have healthy financial habits and those farmers participate actively in farmers’ organization activities. This study provided clear policy insights into the design of institutions channel that foster cooperation, and of the characteristics of FOs. To assist in the FOs financial activities, the postal network can act as financial intermediaries in circumstances where the commercial insurers do not have an outlet or branch networks in their target area. For developing the linkages between farmers and insurers, the public-private partnership model can be used for microinsurance supply to paddy farmers in Sri Lanka. In this context, multi-stakeholder partnerships should be made imperative for paddy farmers’ insurance delivery aimed at widespread coverage or large-scale implementation.

Suggested Citation

  • Heenkenda, Shirantha, 2016. "Inclusive Insurance Sector: An Innovation business model for Microinsurance Delivery in Sri Lanka," MPRA Paper 72480, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:72480
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/72480/8/MPRA_paper_72480.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Paul Mosley, 2009. "Assessing the success of microinsurance programmes in meeting the insurance needs of the poor," Working Papers 84, United Nations, Department of Economics and Social Affairs.
    2. Skees, Jerry & Varangis, Panos & Larson, Donald & Siegel, Paul, 2002. "Can financial markets be tapped to help poor people cope with weather risks ?," Policy Research Working Paper Series 2812, The World Bank.
    3. Heenkenda, Shirantha, 2011. "Prospective Demand for an Index-Based Microinsurance in Sri Lanka," MPRA Paper 54420, University Library of Munich, Germany, revised Jul 2011.
    4. Olivier Mahul & Charles J. Stutley, 2010. "Government Support to Agricultural Insurance : Challenges and Options for Developing Countries," World Bank Publications, The World Bank, number 2432, September.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Farmers’ Organizations; Financial Intermediaries; Insurance Delivery; Microinsurance;

    JEL classification:

    • G2 - Financial Economics - - Financial Institutions and Services
    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:72480. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.