West African insurers tap climate risks as farmers, household losses rises
As climate change intensifies across West Africa, the region’s insurers are stepping up to confront the growing economic vulnerabilities that have left farmers, small income households with huge financial losses.
In 2022, weather, climate, and water-related hazards affected more than 110 million people in Africa, causing more than $ 8.5 billion in economic damages and leading to at least 5,000 fatalities, according to World Meteorological Organization (WMO).
In response, the insurers under the umbrella body of West African Insurance Companies Association (WAICA) are considering climate-focused products and risk models aimed at protecting livelihoods and building resilience in some of the continent’s most climate-exposed communities.
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This will form the subject of discussion, when the insurers and stakeholders in climate risks management coverage on Lagos from the 12th to 15th October for the 2025 WAICA Educational.
Ebelechukwu Nwachukwu, chairperson of the local Organising Committee of WAICA 2025 Conference said, “The 2025 WAICA Education Conference promises to be a landmark event, reinforcing regional cooperation and highlighting the critical role of insurers in responding to climate challenges.
This year’s conference, organized by the Nigerian Insurers Association (NIA) with the theme “The West African Insurer in the Face of Climate Change,” will bring together insurance practitioners, regulators, policymakers, and thought leaders representing countries across the West African sub-region, she said.
Member countries of WAICA, namely Nigeria, Ghana, Sierra Leone, Liberia, and The Gambia, will be represented, making the conference a truly regional platform for knowledge exchange, networking, and collaboration.
Nwachukwu, who is also the MD/CEO of Rex Insurance Limited stated that the WAICA 2025 conference will begin with a Cocktail welcome reception at the Insurers House, Victoria Island, in Lagos, stating Doris Uzoka-Anite, the minister of State, Ministry of Finance, has confirmed to deliver the keynote address, while Olusegun Omosehin, Commissioner for Insurance, National Insurance Commission (NAICOM) is the Chief Host.
The conference will provide a strategic platform for deliberations on the impact of climate change on the insurance industry, as well as actionable strategies to safeguard the future of insurance education and practice.
It is particularly important for African insurers to engage in robust discussions on climate change, as the continent faces unique vulnerabilities such as extreme weather events, flooding, drought, and agricultural disruptions that directly impact businesses, communities, and livelihoods.
For insurers, these challenges translate into rising claims, increased risk exposures, and the urgent need for innovative products and risk management strategies. By coming together at the WAICA conference, African insurers not only strengthen their collective preparedness but also position themselves to engage competitively with their global counterparts in shaping sustainable insurance practices and climate resilience solutions.
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The “value of climate risks” in Africa refers to the significant economic damages and widespread human impact caused by climate change, with estimates showing up to 5 percent of GDP losses annually due to disasters.
Climate events, such as floods, droughts, and heatwaves, disrupt agriculture, displace communities, and threaten economic development. The continent requires massive investment, estimated at $250 billion annually, to adapt to these escalating risks, despite contributing minimally to global emissions, experts said.
