By HELEN ZULU –
THE Zambia State Insurance Corporation (ZSIC) General Insurance has paid premiums worth K9 million to farmers under the Zambia National Farmers Union (ZNFU) Lima Credit Scheme.
These are farmers who suffered crop failure due to drought during the 2014/15 farming season.
The 2014/15 farming season saw a lot of commercial and small-scale farmers suffer crop failure because of drought.
Company managing director Charles Nakhoze said the total discharged claims amounted to K10,092,106.94 and paid claims so far were K9,326,153.68.
“The total discharged claims amount to K10,092,106.94 and we have so far paid out claims of K9,326,153.68. These payments demonstrate our commitment to empower our clients with financial recovery once they suffer a calamity,” Mr Nakhoze said.
He said the balance to be paid out was K765, 948.26, which was expected to be done soon.
Mr Nakhoze said this move was in a quest to cushion the impact of crop failure.
He said the payment was broken down to cover the affected farmers from Kawambwa, Chienge, Monze, Chibombo, Livingstone, Kazungula, Samfya, Milenge, Chongwe, and Chipata.
Other areas are Kaoma, Lundazi, Chadiza, Kapiri Mposhi, Katete, Chinsali, Nakonde, Mpika and Isoka.
The prolonged dry spells reduced the national maize crop by about 22 per cent, to 2.6 million tonnes, and severely affected the soya bean yields to less than a tonne per hectare for the small-scale farmers.
The Lima Credit Scheme farmers were not spared as 9,292.5 hectares of 38,000-plus hectares of financed crop in the 2014/15 season were negatively affected by the prolonged dry spells across the country.
Mr Nakhoze said it was gratifying to see an increasing number of small-scale farmers beginning to appreciate the role of insurance in farming.