Somalia confirms US$3.88 million in drought insurance payouts
The Federal Government confirmed US$3.88 million in drought Takaful payouts to 17,734 pastoralists enrolled in HoA DRIVE Somalia’s livestock cover.
The Federal Government of Somalia confirmed on 4 March 2026 that US$3.88 million in drought Takaful payouts had been disbursed to 17,734 pastoralists across the country under HoA DRIVE Somalia’s Index-Based Livestock Takaful programme.
The recipients had purchased cover during the April 2025 Long Rains and October 2025 Short Rains enrolment windows. Each policy provides one year of coverage.
How the payout was triggered
Satellite vegetation monitoring showed that the October–December 2025 Short Rains season had severely reduced pasture across multiple regions. When forage conditions fell below the policy’s preset thresholds, payouts were triggered for covered pastoralists.
Payments went directly to policyholders’ digital accounts through mobile money. These were payments under Takaful cover they had purchased, a Sharia-compliant model built on shared responsibility for risk.
