As an aspect of financial inclusion, microinsurance, that is, the provision of conventional insurance products to low-income individuals in developing countries, has the potential to address financial vulnerability in developed parts of the world. To assess this potential, we must however have a better understanding of the gaps between the risks faced by low-income individuals and the risk-mitigation mechanisms available to them. In this presentation, we will discuss the results of an empirical study of the demand for inclusive insurance based on a recently collected data.

This is joint work with Edward Furman and Tsvetanka Karagyozova.

We acknowledge financial support from York University, Royal Bank of Canada, and the Casualty Actuarial Society.