Sa-Dhan Newsletter Volume 1 Issue 4

Micro-Insurance

2.  Covariance of risk

The organization has explicitly underwritten that claims from large scale death of cattle due to communicable

disease will not be entertained. Though some of the dreaded diseases like rinder pest have been eradicated,

foot and mouth disease can also take on an epidemic form and the organization regularly vaccinates the animals

against such diseases.

3.  Adverse selection

Asset verification is carried out by the staff as part of the lending programme. The health of the cattle is further

ascertained before tagging so that adverse selection is avoided.

4.  MIS

The management information system (MIS) for the insurance programme consists of collection of data from

staff at regular intervals. The MIS arrangement is very informal. Much of the data is collected at the time of

meetings. There is vast scope for formalizing the data collection, the reporting and review to enable appropriate

decision making. The stages of MIS, staff involved and the present position are shown in Table 5.

Periodicity

Method of

Sl.

Staff involved

What needs to be done

Aspect

of data

collecting

No.

collection

information

To be made more systematic

Meetings of

Insurance of

Once

in

a

Para  vet  and

1

with formal reporting and

ED with

animals

-

month

veterinary doctor,

consolidation of data. The

coordinators,

programme

field

co

data collected needs to be

of ED with

progress

coordinators.

transformed into reports and

doctor and

reviewed

by

executive

para vets

director.Special care needs to

be  taken  to  judge  the

efficiency of the system. For

example, time taken to tag the

animals, time taken to process

and settle claims etc.

Cattle care

Formalised and systematic at

2

Report

on

Para  vet

and

As and when

planning and execution stages

programme

cattle camps

camps

are

doctor

to track monthly progress in

and meetings

planned  and

terms of each component

in 1

conducted

such as vaccination, de-

worming, and number of

animals covered.

As in 1

Meetings and

The sickness reported and

Sickness of

Nil

3

treatment given needs to be

discussions

animal

collected in the field unit level

between para

to  track  any  epidemic

vets

and

outbreaks. This information

doctor.

can  be  used  to  assess

demand for cattle care and

starting  a  dispensary  if

required in some of the areas.

Needs to consolidate the

Para vet, doctor,

Telephone

4

Immediate

Death

details regarding the cause

field

unit

information

and number of deaths at each

coordinator and

about death.

field unit level and also at

executive director

head office level to build

actuarial knowledge.

Each field unit is adopting

Deposit

Accounting staff

5

Accounts

Every Month

different system to maintain

receipts in

in the field unit

accounts.

Separate

banks for

and head office.

accounting heads need to be

insurance

opened to track information

amount

on income and expenditure in

deposited

field unit as well as head

office level.

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