Pilot project for livestock transport insurance with contractual compensation

Like the rest of the Sahel, Burkina Faso is a livestock-producing country. For several decades, livestock-based trade relations have been developing between Burkina Faso and certain neighboring countries such as Côte d'Ivoire, Ghana, Benin and Togo. The former exports its livestock to the latter group of countries via traditional formal and informal trade channels, which are undergoing major changes in line with evolving social and economic dynamics. In the process of exporting livestock from Burkina Faso to the countries of destination, we note that there are numerous cases of accidents every year.

In addition to the loss of human life, each accident results in an average loss of around twenty million euros. As the truck is insured without its load, the losses are fully borne by the merchants. This is a shock that can wipe out the results of decades of hard work and sacrifice. Insurance covering the transport of livestock and their conveyors or herdsmen enables traders affected, sometimes by serious accidents, to reconstitute their capital and pursue their trade with peace of mind. Insurance can also cover death benefits for the rightful claimants of the deceased, or disability or workmen's compensation for the injured, enabling them to receive medical treatment.

This project is an innovation in the livestock transport sector on the Central Corridor (from Burkina Faso to Côte d'Ivoire, Ghana, Togo and Benin). It addresses priority issues, especially those relating to "better structuring the livestock-meat chain, encouraging the organization of players around common livestock and meat marketing strategies; improving the hygienic, sanitary and commercial quality of livestock and meat."