Index-Based Mortality Livestock Insurance in Mongolia

The Index-Based Livestock Insurance (IBLI) Project in Mongolia, supported by the World Bank, provides financial security to herders facing mass livestock losses from extreme weather. Unlike traditional insurance, IBLI uses aggregated criteria for payouts, making it viable for sparsely populated areas. In 2012, 16,000 policies were purchased. The program is part of a broader government risk management strategy that includes adjusting livestock numbers to match pastureland carrying capacity.

• Extreme weather exacerbated by climate change creates significant vulnerability for Mongolia's economy and workforce, as evidenced by 2010 when over 50% of herders were affected and 75,000 lost more than half their livestock.
• The Index-Based Livestock Insurance (IBLI) Project, supported by the World Bank, utilizes aggregated criteria for payouts rather than individual losses, allowing it to operate in sparsely populated regions where traditional insurance is often unavailable.
• The success of index-based insurance depends on high-quality data, affordability for both buyers and sellers, and clear communication of benefits and logistics to potential policyholders.

APA

Climate and Development Knowledge Network (2013). Index-Based Mortality Livestock Insurance in Mongolia. https://cdkn.org/resource/index-based-mortality-livestock-insurance-in-mongolia

Chicago

Climate and Development Knowledge Network. Index-Based Mortality Livestock Insurance in Mongolia. 2013. https://cdkn.org/resource/index-based-mortality-livestock-insurance-in-mongolia.

Wikipedia

{{cite report |author=Climate and Development Knowledge Network |title=Index-Based Mortality Livestock Insurance in Mongolia |date=28 March 2013 |url=https://cdkn.org/resource/index-based-mortality-livestock-insurance-in-mongolia |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climateanddevelopmentknowledgenetwork2013indexbased, author = {{Climate and Development Knowledge Network}}, title = {{Index-Based Mortality Livestock Insurance in Mongolia}}, institution = {Climate and Development Knowledge Network}, year = {2013}, month = mar, url = {https://cdkn.org/resource/index-based-mortality-livestock-insurance-in-mongolia}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }