Insurance firms pay Sh173m to pastoralists
By Nicholas.Waitathu, April 18, 2023
Insurance companies will pay Sh173 million to livestock keepers who suffered losses between October and December.
Livestock Principal Secretary Harry Kimtai said last week that the payout is for pastoralists who were affected by drought in 21 counties.
Severe drought has ravaged the country since last year where close to 2.5 million livestocks were lost in arid and semi-arid lands (ASALs). The ASAL region has an estimated 13 million pastoralists and agro-pastoralists most of whom are vulnerable to drought shocks.
In 2015, the government launched the Kenya Livestock Insurance Programme (KLIP) to contribute to Ending Drought Emergencies (EDE) medium Term Plan. Through the KLIP project, the insured families have received over Sh1.2 billion in insurance pay-outs against the paid premium of Sh1.1 billion between 2015 and 2021.
Drought shocks
“High exposure to severe drought shocks and their devastating impact on livestock production systems informed the state department of livestock development to adopt livestock insurance for rangelands,” said Kimtai.
The insurance payouts are being undertaken through a five-year project known as De-risking, Inclusion and Value Enhancement of the pastoral economies (DRIVE). The PS spoke during a media briefing at a Nairobi hotel.
“The project is expected to benefit 125,000 pastoral households, translating to about 800,000 people,” the PS said. During the 2022 short rains, over 17,000 pastoralists in Wajir, Garissa, Tana River, and Samburu counties registered for insurance. Sales and savings for insurance is currently underway in Turkana, Marsabit, Mandera, Wajir, Garissa, Tana River, Isiolo, Samburu, Laikipia, and Kajiado.