Altmetric

Parametric insurance and technology adoption in developing countries

File Description SizeFormat 
parametric insurance and technology 20201104.pdfAccepted version796.88 kBAdobe PDFView/Open
Title: Parametric insurance and technology adoption in developing countries
Authors: Biffis, E
Chavez, E
Louaas, A
Picard, P
Item Type: Journal Article
Abstract: Technology adoption is crucial for the development of low-income countries. This paper investigates how parametric insurance can contribute to improving access to finance, and hence to technology, for smallholder farmers. In a model with moral hazard, we show that bundling parametric insurance with loans may lower collateral requirements, thus promoting the financial inclusion of poor households. The case of agricultural input loans and weather-index insurance is studied in detail and related to bundled finance solutions recently piloted among smallholder farmers in Tanzania.
Issue Date: 1-Mar-2022
Date of Acceptance: 28-Dec-2020
URI: http://hdl.handle.net/10044/1/86434
DOI: 10.1057/s10713-020-00061-0
ISSN: 0926-4957
Publisher: Palgrave Macmillan
Start Page: 7
End Page: 44
Journal / Book Title: The Geneva Risk and Insurance Review
Volume: 47
Copyright Statement: © International Association for the Study of Insurance Economics 2021. The final publication is available at Springer via https://link.springer.com/article/10.1057/s10713-020-00061-0
Sponsor/Funder: European Institute of Innovation and Technology - EIT
Funder's Grant Number: TC_2.3.7_190733_P004-1B
Keywords: Social Sciences
Business, Finance
Economics
Business & Economics
Parametric insurance
Crop insurance
Moral hazard
Credit rationing
Technology adoption
CLIMATE-CHANGE
GREEN-REVOLUTION
RISK-MANAGEMENT
FINANCIAL INTERMEDIATION
CREDIT
DECISIONS
PRODUCTIVITY
AGRICULTURE
UNCERTAINTY
ADAPTATION
Finance
Economics
1501 Accounting, Auditing and Accountability
1502 Banking, Finance and Investment
Publication Status: Published
Online Publication Date: 2021-02-12
Appears in Collections:Imperial College Business School