Sunday, August 31, 2025
27.6 C
Lagos

AIICO Insurance: Partnership by Stakeholders Necessary to Grow Agric Sector

Making a presentation on Agricultural Insurance at the annual AIICO Insurance training for members of the Nigerian Association of Insurance and Pension Editors (NAIPE) in Lagos, Mr. Leonard Okereafor, Agric & Emerging Risk Manager of AIICO, stated that the role of insurance in the sustainability of Nigeria’s agric/agribusiness sector cannot be over emphasised.

Okereafor listed the benefits of insurance to farmers to include income stability, facilitates access to loan, enhances strategic partnerships, peace of mind, and is a source of effective risk management.

He said: “There is need to develop a workforce with new skills, values and attitudes to enhance improved productivity and ensure food security. One of the key drivers for transformation is agribusiness.”

According to him, agriculture is the practice of cultivating land, raising crops, and rearing livestock, while agribusiness is the input supply, farming operations, processing and manufacturing, distribution and marketing, retail and export, economic and business aspects of agriculture.

“While the scope of agriculture focuses on farming practices, agribusiness encompasses the entire value chain. In respect to scale, agriculture includes small-scale and subsistence farming, while agribusiness involves larger-scale commercial operations. Also, while the focus of agriculture prioritises food production, agribusiness emphasises profitability and market competitiveness.”

Okereafor listed the agribusiness value chain to include input supply, production, postharvest services, trading post harvest, processing, trading processed items, as well as retail.

He however noted that constraints to the development of agribusiness in Nigeria include: limited access to modern agricultural technology, inadequate extension education/services, absence of robust market links, issues surrounding inputs, agricultural credits, inadequate availability and access to financial solutions.

According to him, AIICO’s agricultural insurance offerings to Nigerian farmers and agribusiness investors fall under Indemnity and Index-based.

He said: “Under Indemnity insurance, we offer poultry, fish farm, livestock, plantation fire, farm property/produce, multi-perils crop. Under Index-based insurance, we offer area yield index-based, weather index-based as well as bundled/hybrid policies.”

For poultry insurance policy, he said: “This product covers birds (broilers, layers, parent stock, grandparents stock, hatchery stock, cockerel, ornamental birds) against death as a result of fire, lightning, windstorm damage, flood, uncontrollable disease and accident. For fishery insurance policy, this policy insures fish against death and fish pond against collapse as a result of fire, lightning, windstorm damage, flood, uncontrollable disease and accident. For livestock insurance policy, this policy insures livestock (e.g. cattle, sheep, goats, rabbits, and pigs) against death caused by fire, lightning, windstorm, flood, accident, and uncontrollable disease. For plantation insurance policy, this policy covers cocoa, sugar cane, oil palm and other plantation farms against loss or damage as a result of fire, lightning, flood, windstorm, and aircraft perils. For farm property insurance policy, this policy provides cover against loss of, or damage to, farm property (e.g. warehouse and farm equipment) and agricultural produce as a result of fire, burglary/housebreaking, lightning, flood, windstorm, explosion, aircraft, earthquake, and impact risks. For Multi-Perils Crop (MPCI) Insurance policy, this policy insures your farm against loss of, or damage to, your crop caused by fire, lightning, explosion, aircraft damage, windstorm, flood and outbreak of uncontrollable pest and disease. The coverage provided by this policy will pay for the production costs of crops that have been lost or damaged during the period from planting up to the maturity of the crop.

 

spot_img
spot_img

Hot this week

Inspenonline Unveils Think-tank on NIIRA, Insurance Sector Recapitalisation

As the insurance sector witnesses a new dawn with...

SanlamAllianz, Cornerstone, emPLE, Enterprise Life, Leadway, Lasaco Throw Weight Behind IMT 4.0

The fourth edition of Insurance Meets Tech (IMT 4.0)...

NCDMB, Coppercrux Engage South-South Youths on CNG Technologies, Opportunities in Value Chains

The Nigerian Content Development and Monitoring Board (NCDMB), in...

Fidelity Bank Champions Africa’s Export Growth at FNITCC Atlanta 2025

Leading financial institution, Fidelity Bank Plc has announced plans...

NAICOM, CAC Partner for 12- Month Recapitalisation Timeline

The Management of the National Insurance Commission (NAICOM) paid...

Topics

World Bank, Partners Launch $24bn Universal Health Coverage in Africa

The Sixth Tokyo International Conference on African Development (TICAD-VI),...

Accugas Signs MOU with Inoyo Toro Foundation to Establish Education, Internship Training Programme  

L-R: Okwudili Onyia, Communications Manager, Savannah Energy; Prof. Enobong...

CBN Defends Forex Ban Policy

Mr. Moses Tule, Director of Monetary Policy, Central Bank of Nigeria (CBN) has stoutly defended the recent restrictions placed on forex by the apex bank, saying it is a move to stem gradual erosion of value of the Naira. The CBN had placed a ban on importers of certain commodities from accessing foreign exchange from the forex window. Tule was a guest speaker at a Forum organised by the Lagos Chamber of Commerce and Industry (LCCI) that sought to bring together the regulator and the private sector to discuss urgent and topical issues that have implications for the economy.

Stakeholders Endorse Ecobank Stewardship Pack, School Bundle

Stakeholders in faith-based organisations and education sector have endorsed...

African Aviation Sector to Lose 2m Jobs over COVID-19

    The International Air Transport Association has released new analysis...

Heirs Insurance Group Unveils New Website for Better Customer Experience

Heirs Insurance Group, Nigeria’s fastest growing insurance group, has...

Stock Market Statistics: Tuesday, 17th October 2017

Market Cap (N'bn)               12,622.3 Market...
spot_img

Related Articles

Popular Categories

spot_imgspot_img