This report was commissioned by CARE Southern Africa to explore the possible role of climate risk insurance in general and the African Risk Capacity (ARC) in particular, with regard to food security and climate resilience of small-scale (female) subsistence farmers in six Southern African countries.
The report starts with a regional as well as national level stock-take for the six countries covered by this report: Malawi, Madagascar, Mozambique, Tanzania, Zambia, and Zimbabwe. ARC is being implemented in different stages in five of the six countries, while R4 and ACRE and other climate risk insurance approaches are relevant in at least two of them. The report reflects the possible role of climate risk insurance given the CARE regional advocacy objectives, as well as of possible, but so far not very well developed inter-linkages with the national and regional food security, disaster risk management, climate adaptation, social protection, and agriculture policy frameworks. It concludes with three main findings, two general recommendations, and 21 country-specific advocacy recommendations. Climate risk insurance is considered highly relevant, if designed and implemented in a pro-poor way, as part of a broader risk management strategy. CARE is encouraged to take up respective advocacy work since multi-stakeholder engagement is key to make climate risk insurance work for the poor.