Background facts Global Index Insurance Facility (GIIF)
Funded by the ACP (African, Caribbean and Pacific Group of States) and the European Union together with the governments of Germany, Japan and the Netherlands, GIIF has facilitated a total of more than 10.5 million contracts covering 53 million people, primarily in sub-Saharan Africa, Asia, and Latin America and the Caribbean (2010–2021). Through its Africa Inclusive Insurance Program, GIIF aims to provide cover against climate risks for 25 million further smallholders and micro-entrepreneurs.
GIIF supports the expansion of index-based agricultural insurance to protect poor and vulnerable people against extreme weather events. It facilitates access to finance for smallholder farmers, micro-entrepreneurs and microfinance institutions through the provision of disaster risk transfer solutions and index-based insurance.
GIIF's strategy for building index insurance markets is based on a comprehensive approach:
- Financial education through public education on, and media promotion of, index insurance for farmers, small businesses, microfinance institutions, banks, distributors and other interested parties.
- Capacity building and subsidies based on grants to research institutions, brokers and NGOs to support training of local insurers and financial institutions and the implementation of feasibility studies.
- Technical advice on products and pricing from GIIF technical specialists and partners.
- Public policy dialogue at national and regional levels to improve the regulatory environment and establish the preconditions necessary to launch agricultural index-based insurance products.
As at: 20/09/2022