Thousands of low-income women based in India are receiving assistance to deal with the economic and health effects of the extreme heat temperatures that are currently gripping the country.
From what we understand, extreme heat temperatures in India triggered insurance and cash payments in 22 districts across the states of Rajasthan, Maharashtra and Gujarat, totaling almost $600,000.
A staggering 92% (46,242) of the 50,000 women in 16 districts of Rajasthan and Gujarat enrolled in the Women’s Climate Shock Insurance and Livelihoods Initiative (WCS) have received insurance payments from the $341,553.
Moreover, the highest insurance payout seen was in the Dungarpur district of $19.80 per member, and an average insurance payout of $7.38 in the other districts.
It is also important to address, that all enrolled members received ~$5.00 in cash assistance given that every district reached 40°C/104°F.
For those who are not aware, the WCS was launched during COP28 by not-for-profit organisation Climate Resilience for All in partnership with Self-Employed Women’s Association (SEWA), and is underwritten by reinsurance giant, Swiss Re.
It has parametric insurance covering extreme heat days, and a layer of income support directly to the individual when there are harmful heat waves.
In addition, the product is currently offered to women of SEWA working across the informal sector, whose outdoor work can wind up leading to chronic rashes, dizziness, burns, infections, and miscarriage, as well as loss of crops or merchandise that can result in economic disaster at a household level.
It has also been confirmed that there are plans to roll the WCS product out to communities across India, East and West Africa within the coming year or so.
Arunaben Makwana, a SEWA member commented: “The money from the program has allowed me to pay for my medical expenses and to buy food for my family.”
Kathy Baughman McLeod, CEO of Climate Resilience for All, said: “This is the first time that insurance payouts and a direct cash assistance program have been combined to supplement the income of women when it’s dangerously hot. There is one thing pushing SEWA women further into poverty and that is climate change – this program offers choice and opportunity in spite of extreme heat.”
Reema Nanavaty, Director of SEWA, added: “The money our sisters have received through this package of insurance money and income supplement is putting food on the table and protecting the little income they bring. One day of support is feeding their families for a week. This program offers peace of mind and options for our members.”
Veronica Scotti, Chair of Public Sector Solutions at Swiss Re, commented: “I’m proud that Swiss Re’s technical expertise was behind the design and structuring of this innovative parametric microinsurance solution. It’s fulfilling of our purpose to build resilience, that over 46’000 women have benefited from our earnings protection cover following the recent extreme heat waves in India.”
