Oromia Insurance Company SC (OIC) disclosed it had paid a total of 380,000 Birr as compensation for farmers. The claims by the farmers were made following the drought Ethiopia experienced last year as a consequence of El Nino phenomenon.

The Insurer made the payment to 400 famers residing in 2 kebeles of East Showa Zone; Kemo Gerbi and Desta Ajata. In the same way, OIC paid close to a million Birr to farmers covered by PAA and JICA projects.

According to Capital, OIC sold 44,479 policies of Weather Index Crop insurance (WICI) in the current year. These policies will cover staple crops such as Teff, Maize and wheat in both projects. OIC is currently operating in 48 kebeles with regard to WICI.

The minimum premium for the policies is 100 Birr and there is no upper limit to it. The farmers decide how many policies they want to purchase depending on the size of their farmland and productivity of the season.

Source: Capital