Livestock to be insured
Jul 31, 2006
AN insurance product to help cattle keepers insure their livestock and use it as collateral to access loans from financial institutions has been developed.
By Charles Bwogi
AN insurance product to help cattle keepers insure their livestock and use it as collateral to access loans from financial institutions has been developed.
The manager of Alexander Forbes, a risk management and insurance brokerage firm, Kwame Ejalu, said, “Several banks we represent have asked us how they can extend services to the people through insurance. One of the areas we looked at is developing a livestock insurance product that will enable farmers stake their cattle as collateral for loans.â€
Ejalu said the livestock insurance policy would be accessible to all livestock farmers irrespective of their size.
He said it would play as a guarantee, reinforcing the livestock collateral when staked in the bank for a loan.
“Anyone who wants to buy it will have to take the insurance personnel to his farm and those animals to be insured will be ear- tugged to separate them from those not insured,†Ejalu said.
AN insurance product to help cattle keepers insure their livestock and use it as collateral to access loans from financial institutions has been developed.
The manager of Alexander Forbes, a risk management and insurance brokerage firm, Kwame Ejalu, said, “Several banks we represent have asked us how they can extend services to the people through insurance. One of the areas we looked at is developing a livestock insurance product that will enable farmers stake their cattle as collateral for loans.â€
Ejalu said the livestock insurance policy would be accessible to all livestock farmers irrespective of their size.
He said it would play as a guarantee, reinforcing the livestock collateral when staked in the bank for a loan.
“Anyone who wants to buy it will have to take the insurance personnel to his farm and those animals to be insured will be ear- tugged to separate them from those not insured,†Ejalu said.