Pfumvudza farmers receive insurance payout
AFC HOLDINGS, partnered a consortium of insurance companies and the Government of Zimbabwe to run a pilot project on Area Yield Index Insurance for farmers who received Pfumvudza inputs in the 2021/2022 Season in Rushinga and Mwenezi districts.
The project was monitored and evaluated through the assistance of PULA, a technical advisor on Area Yield Index Insurance.
A combined payout of just over US$123 000 was paid to farmers in Rushinga and Mwenezi districts. The payout was made to participating households whose yields fell below the average anticipated yield for each area.
Area Yield Index Insurance compensation is based on the realised average yield of an area, not the actual yield of the insured party.
Losses are paid if the realised yield for the area is less than the insured yield regardless of the actual yield to an individual policyholder.
The inclusion of the Area Yield Index Crop Insurance in the basket of inputs for Pfumvudza/Intwasa smallholder farming beneficiaries was meant to protect the farmers from the heavy impact of climate change and unforeseen losses that often befall farmers.
Officiating at the payout event, held in Rushinga District, Permanent Secre
tary for Lands, Agriculture, Fisheries, Water and Rural Development, Dr John Basera said: “The Pfumvudza/ Intwasa inputs Insurance Pilot Programme has been a success and we look forward to rolling out the programme to all beneficiaries of the Pfumvudza/Intwasa scheme in due course.
“AFC Insurance Company has a major role to play in cushioning all farmers against climate related risks and we will continue to support them.”
Following the presentation of cheque, AFC Holdings Group chief executive officer, Mr Francis Macheka said: “AFC Insurance company is pleased to be part of the nation’s jour
ney towards driving food security and pushing forward Vision 2030 and we are embarking on a rapid growth programme which will see AFC Insurance Company having nationwide presence in all provinces and districts by the end of 2023, leveraging our existing branch network.”
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