Initial Market Assessment : Country Scoping Note--Senegal
Senegal is implementing a Disaster Risk Management (DRM) framework and has established a public private agriculture insurance company. Rules, responsibilities and operational procedures need clarification, ideally guided by the findings of a fiscal disaster risk assessment. Insurance mechanisms are not considered in (sovereign) catastrophe risk transfer so far. Additional investment in and guidance with data market infrastructure would be necessary for sovereign DRM but would also benefit the spread of catastrophe property insurance for households, businesses and even low income populations who are beginning to see flood micro-insurance. With the public private agriculture insurance company, Senegal has a unique partner for rural outreach that could go beyond agriculture insurance. But the company would require technical support to achieve sustainability and find its role in the social protection framework. There is a unique window of opportunity for micro-insurance in Senegal as specific regulation is being implemented. This has generated momentum that can significantly grow the outreach of insurance but calls for technical and financial support. The most immediate opportunities for promising multi stakeholder interventions in Senegal are in agriculture insurance, where various initiatives have begun specifying the potential. Credit linked property micro-insurance against floods could be explored.